---
title: "How are cryptocurrency transactions recorded?"  
description: "How are cryptocurrency transactions recorded?"  
author: "Sandra Emily"  
published: 2022-05-18  
canonical: https://answers.mindstick.com/qa/97442/how-are-cryptocurrency-transactions-recorded  
category: "troubleshooting"  
tags: ["troubleshooting", "cryptocurrency"]  
reading_time: 1 minute  

---

# How are cryptocurrency transactions recorded?

How are [cryptocurrency](https://www.mindstick.com/articles/23283/create-your-own-cryptocurrency) [transactions](https://yourviews.mindstick.com/audio/1213/b2b-transactions-how-businesses-buy-and-sell-to-each-other) recorded?

## Answers

### Answer by Hitesh Vohra

- Blockchain records cryptocurrency exchanges. A blockchain, in essence, is a **collection of electronic records.**
- The blocks that make up a blockchain are where vital information is stored.
- When a block's storage capacity is reached, it forms a 'chain' with another block.
- However, no blockchain exists at a single location.
- Transaction records are not held in a bank or with the government, as they would be with a traditional money exchange, because bitcoin is decentralised.
- A crypto wallet can be used to access one's cryptocurrency.
- A crypto wallet stores and protects one's private keys, which are effectively passwords.

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**Read More: [Are cryptocurrencies taxable?](https://answers.mindstick.com/qa/97454/are-cryptocurrencies-taxable)**


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Original Source: https://answers.mindstick.com/qa/97442/how-are-cryptocurrency-transactions-recorded

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