DeutschAs is well known, a wallet has a public and a private key. While the private key is comparable to a password, the public key is an address that can be compared to an account number or today’s IBAN. This results, among other things, in each wallet having its own address, which is represented in the form of the public key. Of course, not all wallet addresses are automatically Bitcoin addresses, because some wallets cannot manage Bitcoins, but other cryptocurrencies. The most important thing about the wallet address:
- Consists of a random sequence of numbers and letters
- 26 to 35 characters long
- A wallet address is generated by the wallet in the form of a link and used only once
- The addresses are used to send and receive cryptocurrencies
How Does the Bitcoin Address Work?
To explain how a BTC address works, a comparison to an email address is particularly helpful. In both cases, the same principle is used. This consists of being able to send and receive messages based on the email address. It also works with the BTC address, because Bitcoins can be sent and received based on the wallet to which the address is assigned. However, a special feature of the Bitcoin address compared to an email address is that the Bitcoin address changes with almost every transaction these days. This is of course not the case with an email address, because it exists as long as the user wants it to.
Bitcoin Address Often Changes these Days
While the address remained identical even after transactions in earlier times, the system has changed since 2016. For around two years now, the Bitcoin address has been changing at least after the Bitcoins have been sent from the wallet. The address is now often changed even when Bitcoins are only received. The experts state that the reason for the change in their own Bitcoin address, which is quite confusing for some users, is that this leads to greater anonymity and also serves security. In this respect, the changing Bitcoin address can largely be compared to an IP address for the Internet connection, which usually changes daily.
When is the Wallet Address Needed?
You always need the BTC address when you want to either send or receive Bitcoin. To send, it is essential that you log into your wallet and know both the Bitcoin address in the form of the public key and the private key. If, on the other hand, you want to receive Bitcoins from another person, it is sufficient to give them your wallet address and thus the public key.
