Transactions are value transfers between Bitcoin wallets that are recorded in the blockchain. Bitcoin wallets store a hidden piece of data known as a private key or seed, which can be used to sign transactions and prove that transactions originated from the wallet. Transactions are broadcast to the network and are validated within 10-20 minutes by a process called mining.

Private key transactions refer to cryptocurrency transfers that require a private key for authorisation. A private key is a unique, secret code that proves ownership of a specific crypto wallet. When a user initiates a transaction, the private key signs the transaction digitally, confirming it came from the rightful owner. This signature is verified by the network before the transaction is added to the blockchain. Without the private key, no one can access or move the funds in the wallet, making it a critical security element. However, if the private key is lost or stolen, access to the assets is permanently lost. Therefore, secure storage of private keys is essential for safe crypto transactions and asset protection.