How to Send and Receive Bitcoin?

Introduction

One of the most important skills when using Bitcoin is knowing how to send and receive transactions safely. Even though it's a relatively simple process, there are important details that can prevent expensive mistakes and ensure your Bitcoins reach the correct destination.

This guide will teach you everything you need to know about sending and receiving Bitcoin, from the basics of addresses to how to choose appropriate fees and understand the confirmation process.

Understanding Bitcoin Addresses

Before sending or receiving Bitcoin, you need to understand what addresses are.

What is a Bitcoin Address?

A Bitcoin address is like a bank account number, but on the blockchain. It's an alphanumeric string of characters that identifies a destination where Bitcoins can be sent.

Example of Bitcoin address:

bc1qxy2kgdygjrsqtzq2n0yrf2493p83kkfjhx0wlh

Or in legacy format:

1A1zP1eP5QGefi2DMPTfTL5SLmv7DivfNa

Address Characteristics

Unique: Each address is unique and generated specifically for a wallet.

Reusable: You can receive multiple payments to the same address.

Public: Addresses are public and can be freely shared.

Don't reveal identity: An address by itself doesn't reveal who owns it.

Types of Addresses

Legacy Addresses (P2PKH):

Start with 1
Example: 1BvBMSEYstWetqTFn5Au4m4GFg7xJaNVN2
Older formats, still functional

SegWit Addresses (P2SH):

Start with 3
Example: 3J98t1WpEZ73CNmQviecrnyiWrnqRhWNLy
Lower network fees

Bech32 Addresses (Native SegWit):

Start with bc1
Example: bc1qxy2kgdygjrsqtzq2n0yrf2493p83kkfjhx0wlh
Even lower network fees
Most modern and recommended format

Why Are Addresses Important?

Addresses are critical because:

If you send to the wrong address, the Bitcoins may be lost forever
Addresses must be copied exactly as they are
A single wrong character can send to someone else

How to Receive Bitcoin

Receiving Bitcoin is the simplest process. Let's see step by step.

Step by Step: Receiving Bitcoin

Typical Receipt Flow:

Open your wallet (app or exchange website)
Find the "Receive" or "Deposit" option
Wallet generates an address automatically
Copy the address or share the QR Code
Send the address to whoever will pay you
Wait for the transaction to appear on the blockchain
Wait for confirmations (usually 1-6 confirmations)

Visual Flow Example (Text Description)

┌─────────────────────────────────────┐
│  WALLET SCREEN - "RECEIVE" TAB     │
├─────────────────────────────────────┤
│                                     │
│  ┌───────────────────────────────┐  │
│  │                               │  │
│  │   [QR CODE HERE]               │  │
│  │                               │  │
│  └───────────────────────────────┘  │
│                                     │
│  Bitcoin Address:                   │
│  ┌───────────────────────────────┐  │
│  │ bc1qxy2kgdygjrsqtzq2n0yrf... │  │
│  └───────────────────────────────┘  │
│  [Button: Copy Address]              │
│                                     │
│  [Button: Share]                     │
│                                     │
└─────────────────────────────────────┘

Important Details When Receiving

1. Verify the address before sharing

Make sure you're copying the correct address
Compare a few characters at the beginning and end
If possible, test first with a small amount

2. You can reuse the same address

It's not necessary to generate a new address for each receipt
Some recommend generating new ones for privacy, but it's not mandatory

3. The address doesn't expire

Bitcoin addresses don't have an expiration date
You can receive Bitcoins at an address at any time

4. You can receive multiple times at the same address

Each receipt appears as a separate transaction
Total balance will be the sum of all receipts

Receiving on Exchanges vs Personal Wallets

On Exchanges:

Generally simpler (user-friendly interface)
Single address per user
Don't need to manage private keys
Receipts appear automatically

On Personal Wallets:

You control the keys
Can generate multiple addresses
More privacy
You are responsible for security

How to Send Bitcoin

Sending Bitcoin requires more attention, as it involves costs and risk of error.

Step by Step: Sending Bitcoin

Typical Sending Flow:

Open your wallet or exchange
Find the "Send" option
Paste the destination address (or scan QR Code)
Enter the amount in BTC or local currency
Choose the network fee (high, medium, or low)
Review all transaction details
Confirm the transaction (may ask for password/biometry)
Wait for transaction to be created (usually seconds)
Wait for confirmations (minutes to hours depending on fee)

Visual Flow Example (Text Description)

┌─────────────────────────────────────┐
│  WALLET SCREEN - "SEND" TAB        │
├─────────────────────────────────────┤
│                                     │
│  Recipient:                         │
│  ┌───────────────────────────────┐  │
│  │ bc1qxy2kgdygjrsqtzq2n0yrf... │  │
│  │ [Button: Scan QR Code]        │  │
│  └───────────────────────────────┘  │
│                                     │
│  Amount:                            │
│  ┌───────────────────────────────┐  │
│  │ 0.001 BTC                     │  │
│  │ = $65.00                      │  │
│  └───────────────────────────────┘  │
│                                     │
│  Network Fee:                       │
│  ○ Low (1-6 hours) - $3            │
│  ● Medium (10-60 min) - $10        │
│  ○ High (10-20 min)  - $25         │
│                                     │
│  Total to send:                     │
│  ┌───────────────────────────────┐  │
│  │ 0.001 BTC + fee              │  │
│  │ = $75.00                      │  │
│  └───────────────────────────────┘  │
│                                     │
│  [Button: Review Transaction]        │
│                                     │
└─────────────────────────────────────┘

         ↓ (After clicking Review)

┌─────────────────────────────────────┐
│  CONFIRMATION SCREEN                │
├─────────────────────────────────────┤
│                                     │
│  ⚠️ Review carefully:               │
│                                     │
│  Sending to:                        │
│  bc1qxy2kgdygjrsqtzq2n0yrf...      │
│                                     │
│  Amount: 0.001 BTC                  │
│  Fee: $10                           │
│  Total: $75.00                      │
│                                     │
│  This action cannot be undone!      │
│                                     │
│  [Button: Confirm Send]              │
│  [Button: Cancel]                   │
│                                     │
└─────────────────────────────────────┘

Verifying Before Sending

Before confirming any send, always verify:

1. Correct destination address

Check the first 4-6 characters
Check the last 4-6 characters
If possible, send a small test amount first

2. Correct amount

Check if it's BTC or another currency (like USD or EUR)
Make sure of decimal zeros (0.001 vs 0.1 is 100x difference!)

3. Adequate network fee

Don't choose too low a fee if you need urgency
Don't choose too high a fee if there's no urgency

4. Sufficient balance

Make sure you have enough Bitcoin to cover amount + fee
The fee is deducted from your total balance

Network Fees

Network fees are essential to understand when sending Bitcoin.

What Are Network Fees?

Network fees are payments made to miners to process and confirm your transaction on the Bitcoin blockchain.

How They Work

Analogy: Imagine a line at a bank:

High fee: You pay to go to the front of the line → quick service
Medium fee: You wait in line normally → normal service time
Low fee: You go to the back of the line → may take a long time

Factors That Influence Fees

1. Network Congestion

When there are many pending transactions:

More people competing to confirm transactions
Fees need to be higher to be prioritized
During quiet times, fees are lower

2. Transaction Size

Larger transactions (in bytes, not value) cost more:

More inputs and outputs = more bytes
Simple transactions = fewer bytes = lower fees

3. Urgency

If you need quick confirmation:

Choose high fee
If you can wait, choose low fee

How to Choose the Appropriate Fee

For High Urgency (confirmation in 10-30 minutes):

High fee: Generally $25-100 or more
Use when you need the transaction confirmed quickly

For Normal Urgency (confirmation in 1-6 hours):

Medium fee: Generally $10-25
Good for most cases

For No Urgency (confirmation may take hours or even 1-2 days):

Low fee: Generally $1-10
Saves money if there's no rush

Tips to Save on Fees

1. Use times of less movement

Weekends usually have fewer transactions
Times outside business hours

2. Use Bech32 addresses (bc1)

Addresses starting with bc1 generate smaller transactions
Smaller transactions = lower fees

3. Consolidate small transactions

Instead of sending multiple times, send everything at once
Saves on total fees

4. Monitor network status

Use sites like mempool.space to see recommended fees
Adjust your fee based on current congestion

Mempool: The Transaction Queue

To understand how transactions are processed, it's important to know about the mempool.

What is the Mempool?

Mempool (Memory Pool) is like a "waiting room" where Bitcoin transactions sit before being confirmed on the blockchain.

How It Works

Transaction Flow:

1. You create a transaction
   ↓
2. Transaction goes to Mempool (waiting queue)
   ↓
3. Miners see transactions in Mempool
   ↓
4. Miners choose which to include in next block
   (prioritize transactions with higher fees)
   ↓
5. Transaction is included in a block
   ↓
6. Block is confirmed on blockchain
   ↓
7. Your transaction is confirmed!

Why Does the Mempool Matter?

Congestion: When the mempool is full (many pending transactions):

Transactions with low fees may wait a long time
Transactions with high fees are processed first
Can take hours or even days to confirm low-fee transactions

Recommended Fees: Monitoring the mempool helps you:

Choose the appropriate fee for your urgency
Understand how long your transaction will take
Decide if it's worth waiting or paying more

How to Check the Mempool

Sites like mempool.space show:

How many transactions are waiting
Recommended fees for different confirmation times
Mempool size in MB
Estimated confirmation time

Example of what you'd see:

Mempool Status:
- Pending transactions: 45,234
- Size: 12.5 MB

Recommended Fees:
- 1 block (10 min): $25
- 3 blocks (30 min): $10
- 6 blocks (1 hour): $5

Confirmations: Understanding Security

Confirmations are essential for Bitcoin transaction security.

What Are Confirmations?

Each confirmation represents a block that was mined after the block containing your transaction. The more confirmations, the more secure the transaction becomes.

Why Do Confirmations Matter?

Protection against Double-Spend: Confirmations ensure that:

The same coin wasn't spent twice
The transaction cannot be easily reversed
The blockchain reached consensus on your transaction

Analogy: It's like a check:

0 confirmations: The check was just written (can be cancelled)
1 confirmation: The check was deposited (can still be contested)
6 confirmations: The check was cleared (very difficult to reverse)

How Many Confirmations Do You Need?

For Small Values (< $200):

1 confirmation is usually sufficient
Approximately 10 minutes after transaction

For Medium Values ($200 - $2,000):

3-6 confirmations are recommended
Approximately 30 minutes to 1 hour

For Large Values (> $2,000):

6+ confirmations are highly recommended
Approximately 1 hour or more

For Exchanges:

Many exchanges require 1-6 confirmations before releasing funds
This protects both you and the exchange

How to Verify Confirmations

In your wallet or a block explorer:

Transaction Status:
✅ Sent (0 confirmations) - Waiting...
✅ 1 confirmation (10 min ago)
✅ 2 confirmations (20 min ago)
✅ 3 confirmations (30 min ago)
...

Common Errors and How to Avoid Them

Knowing common errors can save a lot of money and frustration.

Error 1: Sending to Wrong Address

Problem: Sending Bitcoin to an address that doesn't belong to the recipient.

Consequences:

Bitcoins are lost forever
There's no way to reverse the transaction
There's no way to recover the funds

How to Avoid:

Always copy and paste the complete address
Verify the first and last characters
For large values, send a small test amount first ($10-50)
Use QR Codes when possible (reduces typing errors)

Double Verification:

Before confirming:
1. Paste the complete address
2. Verify first 6 characters
3. Verify last 6 characters
4. Confirm with recipient if possible

Error 2: Amount Error (Decimal Zeros)

Problem: Confusing 0.1 BTC with 0.01 BTC or forgetting decimal zeros.

Real Example:

You want to send $65 (0.001 BTC)
You type 0.1 BTC by mistake
You send $6,500 instead of $65!

How to Avoid:

Always verify decimal zeros
Check the equivalent value in local currency
Use maximum decimal places the wallet allows
Review total before confirming

Tip: Many wallets show value in two units:

0.001 BTC = $65.00

Check both before confirming!

Error 3: Fee Too Low (Stuck Transaction)

Problem: Choosing too low a fee, making the transaction stuck in mempool.

Consequences:

Transaction not confirmed for hours or days
Bitcoins get "stuck" (you can't use them or reverse)
Recipient doesn't receive payment

How to Resolve:

Option 1: Wait (may take days, but will eventually be confirmed)
Option 2: Replace-by-Fee (RBF) - if your wallet supports it, can increase fee
Option 3: In extreme cases, may need to use Child-Pays-For-Parent (CPFP)

How to Avoid:

Check recommended fees before sending
Don't choose cheapest option if you need quick confirmation
Use sites like mempool.space to see current fees

Error 4: Forgetting Network Fee

Problem: Not having enough Bitcoin to cover amount + fee.

Consequences:

Transaction fails
You need to deposit more Bitcoin
May waste time and need to redo

How to Avoid:

Always verify total (amount + fee) before confirming
Keep a small reserve for fees
Most wallets show total automatically

Example:

You have: 0.01 BTC
You want to send: 0.01 BTC
Fee: 0.0001 BTC
Total needed: 0.0101 BTC

❌ ERROR: You don't have enough!
✅ SOLUTION: Send less or add more Bitcoin

Error 5: Sending to Another Cryptocurrency's Address

Problem: Trying to send Bitcoin to an address of another cryptocurrency (Ethereum, Litecoin, etc.).

Consequences:

Bitcoins are lost forever
Addresses from different cryptocurrencies are not compatible
There's no way to recover

How to Avoid:

Always verify you're using a Bitcoin wallet/address
Don't mix addresses from different cryptocurrencies
Some exchanges show the currency type of the address - check!

Error 6: Not Waiting for Sufficient Confirmations

Problem: Considering transaction complete before having adequate confirmations.

Consequences:

In rare cases, transaction can be reversed
For large values, risk of loss
Recipient may not consider payment valid

How to Avoid:

Wait at least 1 confirmation (10 minutes)
For larger values, wait 3-6 confirmations
Don't trust just "transaction sent" - wait for confirmations

Complete Step by Step: Sending Bitcoin for the First Time

Let's see a complete and detailed example of the process.

Example: Sending $100 in Bitcoin

Scenario: You want to send $100 in Bitcoin to a friend.

Step 1: Preparation

You need:
✓ Bitcoin address of recipient
✓ Have enough Bitcoin ($100 + fee)
✓ Wallet open and working
✓ Stable internet connection

Step 2: Open Send Functionality

In your wallet:
1. Click "Send" or "Send"
2. Select Bitcoin (if you have multiple coins)
3. Wait for send screen to load

Step 3: Enter Recipient

Option A - Address:
1. Paste recipient's Bitcoin address
2. Verify it was pasted correctly
3. Some wallets validate format automatically

Option B - QR Code:
1. Click "Scan QR Code"
2. Point camera at code
3. Address will be filled automatically

Step 4: Enter Amount

1. Enter amount (can be in BTC or $)
2. If entering in $, wallet converts automatically
3. Verify BTC value shown
4. Example: $100 = 0.001538 BTC (approximately)

Step 5: Choose Fee

Wallet shows options:
○ Economic (1-6 hours) - $3
● Normal (30-60 min) - $10
○ Fast (10-20 min) - $25

For this example, choose "Normal"

Step 6: Review Details

Wallet shows a summary:

┌─────────────────────────────┐
│ REVIEW TRANSACTION          │
├─────────────────────────────┤
│ Recipient:                  │
│ bc1qxy2kgdygjrsqtzq2n0...  │
│                             │
│ Amount: 0.001538 BTC        │
│ = $100.00                   │
│                             │
│ Network fee: $10.00         │
│                             │
│ Total to deduct:            │
│ 0.001692 BTC = $110.00      │
│                             │
│ [CONFIRM] [CANCEL]          │
└─────────────────────────────┘

Step 7: Confirm Transaction

1. Review ALL details again
2. Verify address (first and last characters)
3. Verify amount
4. Click "Confirm"
5. Enter password/biometry if requested
6. Wait for processing (usually seconds)

Step 8: Wait for Confirmation

Wallet shows:
"Transaction sent! ID: abc123..."

Status:
⏳ Waiting for confirmation...
⏳ 0 confirmations (10 min ago)
✅ 1 confirmation (20 min ago)
✅ 2 confirmations (30 min ago)

Step 9: Verify Receipt

Recipient should:
1. Open their wallet
2. Verify balance increased
3. See transaction in receipts list
4. Wait for sufficient confirmations

Security When Sending and Receiving

Security Tips for Sending

1. Always Verify Twice

Complete address
Exact amount
Chosen fee

2. Use Test Amounts

For large values or new recipients, send a small amount first
Confirm it arrived correctly before sending the rest

3. Keep Software Updated

Updated wallets have better security
Important bug fixes

4. Use Secure Connections

Avoid public WiFi when making transactions
Use VPN if necessary on insecure networks

Security Tips for Receiving

1. Verify Address Before Sharing

Make sure you're copying correct address
Don't accidentally share addresses from other cryptocurrencies

2. Wait for Confirmations

Don't consider payment complete until you have confirmations
For large values, wait more confirmations

3. Use New Addresses for Privacy (optional)

Generating new addresses for each receipt increases privacy
Not mandatory, but recommended

Frequently Asked Questions

How long does it take to receive Bitcoin?

Sending: Usually instant (seconds)
First confirmation: 10-60 minutes (depends on fee)
Complete confirmations: 1-6 hours for total security

Can I cancel a Bitcoin transaction?

Not directly. Once sent, the transaction goes to mempool and cannot be cancelled. However:

If transaction hasn't been confirmed yet and your wallet supports RBF (Replace-by-Fee), you can try to replace it with a higher fee
After confirmation, it's practically impossible to reverse

Why is my transaction taking so long?

Possible reasons:

Fee too low (transaction is at back of queue)
Network very congested (many pending transactions)
You can check status on mempool.space

What happens if I send to the wrong address?

If the address exists on Bitcoin blockchain:

Bitcoins will be sent to that address
There's no way to recover
That's why it's crucial to verify address before sending

If address doesn't exist (invalid format):

Wallet usually detects error
Transaction is not created
Your Bitcoin stays safe

Can I receive Bitcoin without internet?

No. You need internet to:

Receive transaction notification
Sync your wallet
See updated balance

But Bitcoins are already on blockchain - you just need internet to "see" them.

What's the difference between "Sent" and "Confirmed"?

Sent: Transaction was created and sent to mempool, but hasn't been included in a block yet
Confirmed: Transaction was included in a block on blockchain and has at least 1 confirmation

Conclusion

Sending and receiving Bitcoin is a relatively simple process, but requires attention to details to avoid expensive errors. The most important points are:

Always verify the destination address before sending
Review the amount (especially decimal zeros) before confirming
Choose adequate fees for your urgency level
Wait for sufficient confirmations before considering transaction complete
Use test amounts for new recipients or large values

With practice and care, you'll become confident in moving Bitcoin safely. Remember: when in doubt, go slow and verify everything twice. It's better to be careful than to lose Bitcoins to avoidable errors.

Bitcoin is a powerful and accessible technology, and knowing how to send and receive is a fundamental skill for anyone who wants to use this digital currency. With the knowledge from this guide, you're ready to start using Bitcoin in practice.