• Unit 7: Transactions and Scripting

    In this unit, we'll have a close look at the structure of transactions, unspent transaction outputs or UTXOs, the transaction timeline, and more. Then we'll really dig into the process of locking, and unlocking (or validating) transactions via Bitcoin scripting. Finally, we'll test our knowledge out with a scripting exercise!

    Completing this unit should take you approximately 3 hours.

    • Upon successful completion of this unit, you will be able to:

      • list the elements of a valid transaction;
      • describe and understand the structure of unspent transaction outputs, or UTXOs;
      • describe the Bitcoin transaction timeline; and
      • work with Bitcoin scripts.

    • 7.1: What's in a Transaction?

      • What's in a Transaction? Book

        One topic we have yet to cover in detail is transaction fees. They are an important part of any transaction as without them a transaction may get stuck in limbo, known as the mempool, for a long time. Read this section to get familiar with how fees are added to a transaction.

    • 7.2: The Transaction Timeline

      • The Lifecycle of a Transaction Page
        We know a good bit about what data goes into a transaction, so let's be sure that we also understand the transaction process. This video walks through the transaction timeline from signature to inclusion in a block.

    • 7.3: Transaction Scripting

      • Scripts and Script Language Book

        Now we begin our deep dive into Bitcoin scripting! Let's start by reading these sections on scripting.

      • Advanced Transactions and Scripting Book

        This chapter covers advanced transactions and scripting. Here, we will learn about different transaction types and the scripts that create them. You'll use concepts like pay-to-script-hash and multi-sig in almost any Bitcoin development project.

      • Complex Scripts Book

        Let's finish by learning about conditional clauses and flow control, and taking a look at some examples of complex scripts.

      • Transactions and Multisig Page

        Bitcoin scripting can be hard to read and visualize, and it's very different from what most programmers are used to. This video walks through scripting examples step by step. Watch from the start to 17:50 to get a bit more comfortable with scripting before we try it out in the next exercise. 

    • 7.4: Exercise: Bitcoin Scripting

    • Study Session Review Video

    • Unit 7 Assessment

      • Unit 7 Assessment Quiz
        Receive a grade

        Take this assessment to see how well you understood this unit.

        • This assessment does not count towards your grade. It is just for practice!
        • You will see the correct answers when you submit your answers. Use this to help you study for the final exam!
        • You can take this assessment as many times as you want, whenever you want.