How are public keys and private keys used in the world of digital currencies?

3 answers

• kholoud khalidMay 02, 2024 · a year ago
  Public keys and private keys play a crucial role in the world of digital currencies. Public keys are used to receive funds, while private keys are used to access and control those funds. When someone wants to send you digital currency, they use your public key to generate a transaction. This transaction is then signed with their private key to verify its authenticity. On the other hand, you use your private key to access and spend the funds associated with your public key. It's important to keep your private key secure, as anyone who has access to it can control your funds.
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• Lundgren HolgersenJun 16, 2025 · 3 months ago
  In the world of digital currencies, public keys act as your wallet address, while private keys act as the password to access and control your funds. When you want to receive digital currency, you share your public key with others. They can then send funds to your public key, which is recorded on the blockchain. To spend the funds, you need to use your private key to sign a transaction, proving that you are the rightful owner of the funds. It's essential to keep your private key safe and secure, as losing it means losing access to your funds forever.
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• Abdullah Al RakibSep 13, 2021 · 4 years ago
  Public keys and private keys are the backbone of digital currency transactions. Public keys, as the name suggests, are shared publicly and serve as the destination for funds. Private keys, on the other hand, are kept secret and are used to sign transactions to spend the funds associated with the corresponding public key. Think of public keys as your email address and private keys as the password to access your account. Without the private key, it's impossible to access and control the funds. That's why it's crucial to keep your private key secure and never share it with anyone.
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