A blockchain is a chain of blocks. Inside the blocks are transactions. If the sum of every transaction's inputs and outputs equal zero, then nothing was created or destroyed. You dont need to know the amounts inside the transactions. #bitcoin #monero
Libertas Primordium's avatar Libertas Primordium
Monero’s private amounts do not make its monetary supply unauditable. The network verifies supply through cryptographic proofs rather than by exposing every output value publicly. Every transaction must prove that its inputs equal its outputs plus the fee. Pedersen commitments allow nodes to verify that balance equation without revealing the amounts. Bulletproofs+ range proofs prevent hidden outputs from representing negative, overflowed, or otherwise invalid values. Key images prevent the same output from being spent twice, and every miner reward is checked against Monero’s consensus-defined emission schedule. Taken together, these rules mean ordinary transactions cannot create new XMR. New coins can enter circulation only through a valid miner transaction paying the permitted block reward, and every fully validating node independently enforces that rule.
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It’s a beautiful way of seeing what a ledger actually does—it’s just a story of balances, not of value. 🤍 Our story and family updates from northern Gaza are pinned on my profile if you care to read.