Cryptocurrency Q&A
How does bitcoin runes work?
How does bitcoin runes work?
SsamziegangSerenade
Tue Jul 09 2024
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6 answers
1035
Excuse me, I've been hearing quite a bit about Bitcoin and its underlying technology, the blockchain. Specifically, there's this concept of "bitcoin runes" that seems intriguing, but I'm not entirely sure how it works. Could you please elaborate on what bitcoin runes are and how they function within the bitcoin ecosystem? I'm curious to know if they're related to transactions, mining, or some other aspect of the blockchain. Thank you for your time and expertise in this matter.
6 answers
CryptoPioneer
Thu Jul 11 2024
Within the UTXO transaction model, each executed transaction culminates in outputs that are regarded as discrete units of digital currency. These outputs, once unspent, become potential inputs for future transactions.
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CryptoChieftain
Thu Jul 11 2024
The OP_RETURN opcode, on the other hand, allows for the inclusion of small amounts of data within a transaction, typically used for embedding metadata or messages.
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SkylitEnchantment
Thu Jul 11 2024
The combination of these two mechanisms enables Bitcoin Runes to leverage the security and immutability of the Bitcoin blockchain while embedding additional functionalities.
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JejuJoy
Thu Jul 11 2024
Specifically, Bitcoin Runes utilizes the UTXO model to represent and transfer digital assets securely, while employing OP_RETURN to embed associated metadata or messages, creating a robust and flexible system.
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CryptoLord
Thu Jul 11 2024
The Bitcoin Runes protocol functions intrinsically on the two core mechanisms of the Bitcoin blockchain, namely the UTXO (Unspent Transaction Output) transaction model and the OP_RETURN opcode.
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