Bitcoin Wallet Transaction using Peer-to-Peer Network

Abstract

A peer–to-peer allows online payments that sent directly from one party to another party without going through the financial institution. Digital signature is a part but the main benefit is lost, if a Trusted Third Party is still required to prevent digital signature. This digital signature uses peer–to-peer network. The network timestamps transaction by hashing them into an on-going chain of hash-based proof-of-work is done; it records that and cannot be changed without redoing the proof-of-work. The majority of CPU work is controlled by nodes. That are not cooperating to attack the network, they will generate the longest chain and outspace attackers.