Transaction
Also known as: Value transfer, Operation, Blockchain interaction, Signed action, Transaction record, Ledger entry
A transaction is a recorded exchange of value or data on a blockchain, such as sending cryptocurrency or interacting with a smart contract.
A transaction in blockchain refers to any action that changes the state of the network—most commonly, the transfer of cryptocurrency between addresses or the execution of smart contract functions.
Each transaction includes data such as the sender and recipient addresses, the amount transferred, and a digital signature to ensure authenticity. Once submitted, transactions are validated by nodes through a consensus mechanism (like Proof of Work or Proof of Stake) and added to a block on the distributed ledger.
Transactions are immutable once confirmed, meaning they cannot be altered or reversed. They are publicly visible and traceable via block explorers, which increases transparency and accountability.
Blockchain transactions can involve more than just value transfers—they also trigger decentralized application logic, stake assets, mint NFTs, vote in governance systems, or interact with DeFi protocols.
Fast and secure transactions are essential for the usability and scalability of blockchain ecosystems, making them a critical component of Web3 infrastructure.