Basically when you make a transaction on bitcoin the transaction has to be authenticated using this process. This authentication process actually happens multiple times. The more often it happens the more "guaranteed" you are that the transaction is legit. Bitcoin is decentralized so you need a reliable way to determine if the bitcoins you receive are authentic and that someone hasn't tried to manipulate the blockchain and as the one giving bitcoin you can see if the transaction does indeed go through properly. This is why you are often recommened to wait for at least 6 or more confirmations before you consider the transaction complete. As an added bonus all transactions are available for anyone to view via blockchains. Think of it like a public ledger that you can go to and see all transactions that have ever taken place on that blockchain. Public ledgers like this still exist today for things like property. You can walk into a city hall public service building and look up any property in your city to see who owns it and how much they paid. That is kinda what is going on here.
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