Public key encryption is a method used to secure transactions and information. It involves a pair of keys: a public key, which anyone can see and use to send encrypted data, and a private key, which is kept secret by the owner and is used to decrypt that data.In the context of transactions, when someone wants to send cryptocurrency, they use the recipient’s public key to create a secure transaction. This ensures that only the person with the corresponding private key can access and spend the funds. This system enhances security, as the public key can be shared openly without compromising the owner’s assets. The private key remains confidential, protecting the user’s funds from unauthorized access.Public key encryption not only secures transactions but also enables features like digital signatures. Users can sign their transactions with their private key, providing proof of authenticity and ownership, while anyone can verify this signature using the public key. Overall, public key encryption is fundamental for maintaining security and trust in the ecosystem, enabling safe peer-to-peer transactions without the need for a central authority.