Output Script

Output Script in crypto refers to the specific data structure that determines how transaction outputs can be spent. It defines the conditions for access and secure transfer of cryptocurrency assets.

Output script refers to the code that determines the conditions under which a cryptocurrency transaction output can be spent. It is essentially a set of instructions that specify who can use the funds and how they can be spent.In Bitcoin, for example, this script is written in a language called Script. It includes commands that check for specific requirements, like a public key or a digital signature. Only if these conditions are met can the transaction be validated and the coins spent.Each transaction output can have its own output script, allowing for various conditions. This flexibility lets users create different spending requirements, such as requiring multiple signatures for a single transaction or allowing funds to be locked for a certain period.Ultimately, output scripts play a crucial role in maintaining security and enabling diverse financial transactions on the blockchain. They help ensure that only authorized parties can access and utilize the cryptocurrency associated with a specific transaction output.

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