What is the difference between a public key and a private key in the context of digital currencies?

3 answers

• Nov 26, 2021 · 3 years ago
  A public key and a private key are both essential components of cryptographic systems used in digital currencies. The public key is derived from the private key, and it is freely shared with others to receive funds. On the other hand, the private key is kept secret and is used to sign transactions and access funds. The public key is used to encrypt data, while the private key is used to decrypt it. In summary, the public key is like a lock that anyone can use to send you funds, and the private key is like the key that only you possess to unlock and access those funds.
  574287
• Nov 26, 2021 · 3 years ago
  Alright, let's break it down. A public key is like your bank account number that you share with others to receive money. It's safe to share because it doesn't allow anyone to withdraw funds from your account. The private key, on the other hand, is like your PIN or password that you keep secret. It's used to authorize transactions and access your funds. So, while the public key is for receiving funds, the private key is for spending them. Remember, keep your private key secure and never share it with anyone!
  512171
• Nov 26, 2021 · 3 years ago
  In the context of digital currencies, a public key is a cryptographic key that is derived from a private key. It is used to generate a unique address where others can send funds. The public key is meant to be shared openly, as it doesn't reveal any sensitive information. On the other hand, the private key is kept secret and is used to sign transactions and prove ownership of the funds. It's crucial to keep the private key secure, as anyone who possesses it can control the associated funds. Remember, with great power comes great responsibility!
  549138