← All 21 daysDay 11 of 21 · Week 2 · Module 2.5

Transactions, fees & the mempool

“Bitcoin doesn't have balances. It has digital cash and change.”

Under the hood, bitcoin works like physical cash. You don't spend "from a balance" — you spend specific previous outputs (UTXOs) you received, and get change back to yourself. Your wallet's "balance" is just the sum of your unspent outputs.

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Education only — not financial, investment, legal, or tax advice. Never share your seed phrase with anyone.