The UTXO model shapes blockchain analysis. Change outputs and inputs spent together reveal which addresses likely share an owner, while account-based chains such as Ethereum track balances directly and need different tracing techniques.
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Glossary term
What is UTXO?
UTXO stands for unspent transaction output, the unit of value that Bitcoin and similar blockchains use instead of account balances. Each transaction consumes earlier outputs as inputs and creates new outputs, often including change back to the sender, and an address's balance is simply the sum of its unspent outputs.