Why are Bitcoin transactions stored ?

[shinratensei_]

Because it's a distributed ledger and everybody need to validate that data is not tampered. I consider the transparency to be a feature otherwise the government and institutions won't adopt it as easily as it is today.
If you want privacy, there are some coins that offers privacy but don't be surprised if you got banned everywhere.

[Satofan44]

Bitcoin was created for peer-to-peer transactions that would protect the privacy of individuals and make it possible to make transactions quickly around the world. Currently, we can see that Bitcoin has gained popularity and that people are investing in Bitcoin and they can easily protect their privacy by making transactions. Moreover, at present, we know that Bitcoin is an independent digital currency where people get their financial freedom. Currently, Bitcoin has become so valuable that it is much more than in the past and will increase more in the future and as the demand for Bitcoin increases, Bitcoin will become more valuable.

Wrong, Bitcoin does not provide transaction privacy. I have said it several times in this thread, yet you have chosen to write your shitpost without reading a single correct reply on this topic.

Bitcoin ensures secure transactions and does not recognize any kind of fraud. That is why every Bitcoin transaction is stored.

Wrong, storing of transactions is not necessary to avoid fraud. Furthermore, there are many ways in which Bitcoin is utilized to conduct fraud -- it does not have to happen on the protocol level. You have to be careful how you write about these matters, because things are quite nuanced. Protocol level fraud is what we would consider stuff like a double-spend transaction, while extremely hard to do, it is not impossible either. Furthermore, besides that, there is all kinds of fraud going on every day. You can't generalize it like that.

Bitcoin transactions are completed through the blockchain. Once a transaction is added to the blockchain, it cannot be changed again. This makes it almost impossible to forge transactions or distort accounts.

Wrong. All transactions can be reverted with sufficient mining power. It is extremely difficult, but it is possible. Therefore, to state that it can't be changed again is factually wrong.

Bitcoin is managed through a public ledger. Anyone can view or verify transactions with any transaction ID. As a result, an investor gets assurance and builds confidence in him.

Bitcoin's auditability has nothing to do with investor confidence at all. Since owners are pseudo-anonymous, this ability to verify balances of unknown entities does not create any kind of assurances. The investor does not know what he is looking at.

Bitcoin is pretty much private, but maybe not just as private as you want it to be. Bitcoin’s privacy doesn’t mean everything essentially transactions are hidden, it means you don’t really need to give out your data or information first before you get to store or transact your funds. And yeah, Transparency is also another vital aspect of bitcoin, so nothing is hidden in the blockchain, every single transaction is stored and seen publicly but this doesn’t in anyway infringe on any user’s privacy.

Yet another Stake spamming idiot that does not read anything in this thread. Bitcoin does not provide any privacy and you have been tagged for posting generic shitposts and misinformation. I have clearly defined what privacy is, and you go ahead and try to provide a definition that goes completely against the established definitions.

Because it's a distributed ledger and everybody need to validate that data is not tampered. I consider the transparency to be a feature otherwise the government and institutions won't adopt it as easily as it is today.
If you want privacy, there are some coins that offers privacy but don't be surprised if you got banned everywhere.

It is a feature, it works as designed.

[RockBell]

Only wallet transactions can be tracked, including how much you send and how much you receive. The reason for this is transparency. A receiver will only know a sender has sent the bitcoin by tracking the transaction, and vice versa. In all, the blockchain is still private and secured. No one can access your wallet, and no one can freeze your asset too. You have full control of whatever you do with the asset in your wallet.

And even as bitcoin is based on anonymity there is what they call transparency, and now the whole bitcoin traction works together with blockchain, which makes everything easy for you to be able to track transactions through wallet address, as you said, and transaction hash and i don't think there anything wrong with why people can tract there transactions so and builds trust so and this is why when you are sent any type of coin you can easily track it and you can even see what is remain in that wallet without knowing who the wallet belongs to and this is the interesting thing about it and this why people don't really bother about the transaction tracking and many more as far your identity is important.

[Dictator69]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver. Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

I think you have not read the Bitcoin white paper. I recommend that you read it. It is not that big, and in its privacy section, it is mentioned that anyone can see who has sent the funds and received them but on their bitcoin wallets, it does not tell the real identity of those parties.

If you create a wallet address on a decentralized wallet and I send bitcoins to you, anyone who have my wallet address can see this person has sent funds to you, but it does not mention who is the real owner like in fiat. Like the real names, the place they live etc.

[IronRubleS]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver. Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

This is a common confusion. Cryptocurrency was not developed primarily to ensure privacy, they were developed to eliminate the necessity of the central authority and enable individuals to verify the transactions themselves. The public transaction history is in fact what makes the system credible as any person can audit it.Bitcoin especially is more open than secret. There is no name of yours, and the wallet action can be seen. It can be better regarded as pseudonymous, which is not anonymous.In case complete privacy is desired, other cryptocurrencies pay more attention to it. The downside however is that transparency is useful in security and fraud prevention. And it is really all about balance, privacy versus trust.

[henry_of_skalitz]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver. Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

I think you have not read the Bitcoin white paper. I recommend that you read it. It is not that big, and in its privacy section, it is mentioned that anyone can see who has sent the funds and received them but on their bitcoin wallets, it does not tell the real identity of those parties.

If you create a wallet address on a decentralized wallet and I send bitcoins to you, anyone who have my wallet address can see this person has sent funds to you, but it does not mention who is the real owner like in fiat. Like the real names, the place they live etc.

Agreed through and through.

The only way they may tie all of it up is if we do it somewhere where KYC / this kind of thing is needed..

[Abu-Naim]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver. Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

Bitcoin and cryptocurrency being decentralized doesn’t mean it can’t be transparent.
The main reason for storing transaction data in the blockchain is for reference purposes, but regardless of the transaction records being kept, you can’t know directly who owns the wallet both the sender and the receiver.

It is good to have backup and records stored in the blockchain so that we can know what happens around the Bitcoin ecosystem which do usually have effect to the price movement.

[Findingnemo]

No one know who sent the funds and who received it, just some alphanumeric characters along with the amount and fees will be visible to everyone and it is mandatory right, if there is no details then how you will know that the transaction is actually happened.

Bitcoin is not privacy focused coin, it offers pseudonymity to the users but there are still ways to trace the orgin if someone really wants to know and has resource to do it.

[SamReomo]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver. Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

Bitcoin wasn't created for privacy, it was created as a decentralized currency that can be used freely by everyone. it wasn't meant to be a privacy coin, and it's not meant to be a privacy coin even this day. The ones who love privacy know how to use third party services to enhance the privacy of their coins but Bitcoin on its own isn't a privacy centered coin but a decentralized coin.

All transaction history is visible to everyone via Blockchain, and that's why if your main purpose is to use a coin that's created for privacy then use a privacy coin instead of Bitcoin. However, if you want to use a coin that's free from centralized system and can be used freely by anyone, then you can use Bitcoin, but still it's someone's own choice.

[JiiBs]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver. Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

I think you have not read the Bitcoin white paper. I recommend that you read it. It is not that big, and in its privacy section, it is mentioned that anyone can see who has sent the funds and received them but on their bitcoin wallets, it does not tell the real identity of those parties.

That’s the idea that needs to be understood, transparency of transactions doesn’t mean your privacy is invaded or isn’t respected. It’s necessary to keep a ledger as proof of a transaction to have being done at some point.
Should there be any reason you get into a case that needs investigating, you can get your transaction ID as proof and be done with it. That’s the usefulness of having these transactions recorded on the blockchain.

[Floxynice]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver. Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

If there are no records of every transaction anywhere and transactions are not made public for people to see, the the bitcoin network may face the issue of double spending because if there are no records for people to see and verify, the likelihood that people will spend 1 bitcoin over and over again is very positive.

Decentralization doesn't mean privacy. Bitcoin doesn't have one big boss out there that gives orders. There is no central authority out there that controls and coordinates things. It is neccessary for bitcoin to be made public so any one can see and verify the authenticity of the transactions. Everyone has equal rights to verify. Your true identity is not exposed except you do so with your actions.

[DeeppRockk]

That is because people confuse anonymity with private. Bitcoin transactions are not private; they are anonymous. If they were private, only you would be able to see your transactions. They are anonymous because even though everybody can see the transaction or address on the blockchain, nobody can tell who carried out the transaction or who owns the address. It is a form of privacy, but not by keeping the transactions private, but anonymous.So when people say things like "Bitcoin transactions are private", they're wrong, and this is a common misconception. No transaction on the blockchain is private.It is only whenyou have revealed that you are the owner of an address that it no longer becomes anonymous. So now if that address carries out a transaction, people would know that you made a transaction because they know who owns the address.

it's the same conversation i was having back in 2013... people showed up thinking they'd found magic internet money that made them invisible. i remember the shock on the forums after the first big Silk Road busts, when everyone realized the Feds had just followed the money right on the public ledger.

it wasn't even rocket science back then.

every single cycle, a new wave of people comes in and makes the exact same mistake. they hear 'crypto' and think 'secret'.

what they don't get is that Bitcoin's main feature was never secrecy, it was that no one could stop the transaction from happening. that transparency is the price you pay for censorship resistance. it's a trade-off i've seen people fail to understand for over a decade now.

gets tiring explaining it.

[Alpha Marine]

it wasn't even rocket science back then.

every single cycle, a new wave of people comes in and makes the exact same mistake. they hear 'crypto' and think 'secret'.

I would understand people who didn't understand it in 2013, because back then, Bitcoin was not as mainstream as it is now. There were not many articles or videos explaining Bitcoin or the bitcoin eco system. There were not this many people talking about Bitcoin, but now, it's everywhere. All you have to do is ask Google, "Are Bitcoin transactions private?" and you will have an answer, yet people still get it wrong.

Btw, I have been corrected recently that Bitcoin transactions are pseudonymous, not anonymous. Apparently, they are different, and it's true, I agree. Pseudonymous means the transactions can be linked to a particular address, while anonymous means they can't be linked to a particular user.
This forum is pseudonymous because you can see what a user posts and know that it's from that account, even though you don't know the real identity of the person behind the account. If it were Anonymous, we would be able to tell which account a post came from.

what they don't get is that Bitcoin's main feature was never secrecy, it was that no one could stop the transaction from happening. that transparency is the price you pay for censorship resistance. it's a trade-off i've seen people fail to understand for over a decade now.

The transparency is what makes it even more unique; I don't consider it a price to pay. It's a genius creation to have something that promotes privacy to be so transparent. I doubt it would have been this successful if the transactions were private and only the sender and the receiver could see them. 
That is why I shake my head when government officials and politicians say stuff like "Bitcoin is for criminals".
I understand that criminals use it, but compared to other payment systems, it's minimal because criminals don't like their transactions out in the open that much.

[Satofan44]

And even as bitcoin is based on anonymity there is what they call transparency, and now the whole bitcoin traction works together with blockchain, which makes everything easy for you to be able to track transactions through wallet address, as you said, and transaction hash and i don't think there anything wrong with why people can tract there transactions so and builds trust so and this is why when you are sent any type of coin you can easily track it and you can even see what is remain in that wallet without knowing who the wallet belongs to and this is the interesting thing about it and this why people don't really bother about the transaction tracking and many more as far your identity is important.

Bitcoin is not based on anonymity, who the fuck is giving your account merits when you are shitposting like this.

I think you have not read the Bitcoin white paper. I recommend that you read it. It is not that big, and in its privacy section, it is mentioned that anyone can see who has sent the funds and received them but on their bitcoin wallets, it does not tell the real identity of those parties.

That is not privacy, and that can tell the identity if the addresses are tied to certain people or entities. Therefore, it is incorrect to claim that there is any privacy. All transaction data is public, therefore there is no privacy.

No one know who sent the funds and who received it, just some alphanumeric characters along with the amount and fees will be visible to everyone and it is mandatory right, if there is no details then how you will know that the transaction is actually happened.

Bitcoin is not privacy focused coin, it offers pseudonymity to the users but there are still ways to trace the orgin if someone really wants to know and has resource to do it.

In theory true, in practice completely false. Most users have been de-anonymized. You do not know how to use Bitcoin in an anonymous way, and other data and metadata that relates to your activities is regularly combined to create profiles about individuals and the ownership of all of their addresses. To claim these things on this forum is even worse, 99% users are shitposting retards. They are not anonymous at all, even if the were to use Monero they would de-anonymize themselves with their stupidity.  

That’s the idea that needs to be understood, transparency of transactions doesn’t mean your privacy is invaded or isn’t respected.

Wrong, that is exactly what it means. Don't shipost here before you read any other replies. If transactions are transparent, then there is no privacy. It could not get any more simple than that.

gets tiring explaining it.

It is tiring that most humans are absolutely stupid and dumb as a rock and it has nothing to do with their positions or power or careers. You can see the same thing in this forum. Most forum staff members, DT members, merit sources and so forth have at best very basic knowledge about Bitcoin. They would make these mistakes too but they try to avoid these topics to not make fools out of themselves regularly. The best solution is to keep explanations limited to one role, such as your forum user role here, and stop explaining things to stupid people besides there.

[Pablo-wood]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver.

The CEX you use is what sells your data and link your wallet to your transactions. If you avoid centralised exchanges you can stay private for as long as you use DEX or send your coin directly to the receiver without using any third-party agent. The idea of privacy isn't defeated it's our usage that stained the original idea.

Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

If there is no ledger how will I confirm a transaction was sent and the recipient actually received the said amount. How do we resolve dispute incase of disagreement or conflict. The public ledger as long has it's used without CEX remains private except there is a bridge of trust from either party.

[Dictator69]

That’s the idea that needs to be understood, transparency of transactions doesn’t mean your privacy is invaded or isn’t respected. It’s necessary to keep a ledger as proof of a transaction to have being done at some point.
Should there be any reason you get into a case that needs investigating, you can get your transaction ID as proof and be done with it. That’s the usefulness of having these transactions recorded on the blockchain.

If our personal life is not connected to the wallet address then no one can find out if it belongs to us or not. That's how it provide us privacy. Public record was necessary.

That is not privacy, and that can tell the identity if the addresses are tied to certain people or entities. Therefore, it is incorrect to claim that there is any privacy. All transaction data is public, therefore there is no privacy.

We both are right in our contexts, but there is an addition of "if", like, if someone's wallet address is connected to them via KYC or centralized exchanges or someone knows that this is satofan44's wallet address then the privacy is gone.

But there are ways I have learned so far to even make your transactions more private and XMR is the first choice after  mixers.

[Cleanslate_]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver. Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

Bitcoin transactions are being stored in the Blockchain for the purpose of transparency, security and so that it will not be susceptible to change, since the records will avoid fraud, allows the owner to verify his account and proper accessing transaction history without relying on a third party to do that for you.


It is private because it is only you and the system that has the right to access your key and if forgetting no body can get them for you and your funds are lost forever because there is no third party and that is why the system will always want you to provide your correct seed phrase which they have but they cannot give it to you because if really you own the account, the system expects you to give them the correct seed phrase for your access .

[Pi-network314159]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver. Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

Even though Bitcoin appears to be decentralized and involve privacy doesn't mean it would not have any record. This stored transaction history in the public ledger is just to keep your transaction information accurately to be able for you to see how fair the system is without being biased. It's done by the system to enable you trace the history of every transaction you made since their is no third party to help you do that. The system can not be totally private because they need transparency to see how transaction is done without human error. So information being stored on the public ledger is not a mistake but an act of transparency.

[Mahiyammahi]

Unfortunately, Bitcoin is not anonymous; it is pseudonymous.

Example for easier understanding:

In the traditional banking system, banks maintain a private ledger. Only the bank has access to this ledger. 
They know how much money you have in your account, for example, $500. 
When you send money, the bank updates its internal ledger and confirms the transaction.

Bitcoin works differently.

Satoshi Nakamoto’s goal was to eliminate the need for a third party like banks. 
So Bitcoin does not rely on a private ledger controlled by a bank.

Instead:

• There is no central authority controlling balances.
• All transactions are recorded in a public ledger.
• This public ledger is called the blockchain.

Because the ledger is public, anyone can verify transactions and balances connected to wallet addresses.

However, wallet addresses are not directly tied to real names, which makes Bitcoin pseudonymous, not anonymous.

So everyone collectively acts as the ledger by verifying and storing blockchain data.

[Tamaperdana]

The point of crypto currency creation was for the reason of privacy, which was coated as the word decentralized network, where there's no third party in-between, just the sender and the receiver. Them why are transactions history store and made public, so there can be traceable? Because with this it doesn't feel private to me.

Yes, that's probably for security reasons or the total transparency of the blockchain system. I believe such a system would enhance security for Bitcoin and other crypto users. Furthermore, when it comes to privacy,, I understand that even though all transactions on the blockchain are recorded, user privacy remains secure and anonymized. Therefore, your privacy remains secure, and you don't need to worry. Therefore, you don't need to worry about this anymore, as only the transaction history is published, not personal data...