must have some combination of paper bills maybe i have four twenty dollar bills and one five dollar bill or eight ten dollar bills and one one uh five dollar bill they're different they're different permutations maybe i have NUMBER_TOKEN one dollar bills that which might be a little bit unwieldy but basically you can think of each of these paper bills paper dollar bills in my wallet in my physical wallet in my pocket as each of those as an unspent transaction output i got each of these bills from someone else uh maybe i was i was paid it for doing some tasks and so each of these bills is a transaction output i exchanged my my labor for one of these bills and of course most of this is done electronically now digitally but this is just the the analog example so each of these bills in my wallet is a transaction output and they are currently unspent they're sitting in my wallet i can use them i can exchange them for goods and services and so i have the power to spend them because they're still unspent each of these dollar bills is like a utxo it's an unspent transaction output now if you're finding this video helpful so far be sure to hit that subscribe and like button and also share this video with a few friends who are serious about learning about bitcoin now the difference between bitcoin and paper dollar bills like the kind you might have in a physical wallet in your back pocket or in your purse is that with bitcoin there are no fixed denominations you might have NUMBER_TOKEN worth of bitcoin again this is the fiat value of the bitcoin you own and you might have it in utxos in two separate utxos one utxo again an unspent transaction output one utxo is eighty dollars worth of bitcoin the other utxo is five dollars worth of bitcoin this would be almost as if you had an NUMBER_TOKEN bill but again they're no fixed denominations in bitcoin you may uh under another scenario you may have NUMBER_TOKEN dollars worth of bitcoin on your trezor wallet and the utxos might actually be kind of long weird numbers like twenty three dollars fifty six cents and eighty nine one hundredths of a cent and then another sixty one dollars and change that which add up to NUMBER_TOKEN and so unlike paper money there are no fixed denominations a utxo can really be in any amount it presumably it would be NUMBER_TOKEN million or less since there is a max supply of bitcoin and probably utxos never get anywhere close to being that big maybe some people have utxos that have a million million bitcoin in them or something like that like satoshi but let's let's go back and talk about our trezor hardware wallet or wherever we're storing our bitcoin if i have one bitcoin NUMBER_TOKEN bitcoin on my hardware wallet chances are it's probably it's probably stored in various utxos so i might have point one bitcoin and one utxo NUMBER_TOKEN bitcoin and another utxo NUMBER_TOKEN bitcoin in another utxo and when i say this when i say that i have bitcoin on my hardware wallet it's a little bit misleading this is not like uh it's not really like a disk drive backup or it's not like holding something in a box because bitcoin is not stored in your hardware wallet or on your
START_SELFPROMO_TOKEN you're finding this video helpful so far be sure to hit that subscribe and like button and also share this video with a few friends who are serious about learning about END_SELFPROMO_TOKEN