The Complete Guide to Bitcoin Change Addresses

The Bitcoin Change Address is a new address created when the sender’s wallet software generates a new Bitcoin address to receive the change from transactions.

What is a Bitcoin Change Address and How Does it Actually Work?

A Bitcoin change address is an additional Bitcoin address that can be used to send Bitcoins. Whenever you are sending Bitcoins, your wallet will use one of the addresses in your wallet, for example, one of your public-facing Bitcoin addresses or your private-facing bitcoin addresses. The problem with this process is that there are two different types of Bitcoin wallets – those that generate each outgoing transaction’s recipient address independently and those that generate outgoing transactions’ recipient addresses using a single input (e.g., “Send From” feature).

How You Can Use Bitcoin Change Addresses to Make Purchasing Crypto Currencies More Anonymous

Bitcoin change addresses enable people to make purchases of crypto currencies anonymously. The change address is a separate Bitcoin wallet that is created by the crypto currency exchange or wallet service provider.

Change addresses can be used to make purchases anonymously as people who want to buy crypto currencies don’t need their name and address tied up with their transactions. They also allow users to buy more than they can afford as they can transfer the difference from an Exchange account into the change address.

Which Wallets Are Using Bitcoin Change Address

There are several wallets that offer Bitcoin change addresses. For the most part, the majority of Bitcoin wallets and Bitcoin exchanges do not allow users to spend change outputs and will generate a separate address for that purpose.

How Bitcoin Change Addresses are created

Bitcoin change addresses are a way that the Bitcoin protocol provides a way to send money back to yourself. The Bitcoin software asks you for an address where it should send any change after spending from your primary address. The change is not available to spend unless and until the Bitcoin transaction gets confirmed on the blockchain network. This means that you cannot spend until the funds get delivered to the intended address.

However, you can still change this setting inside your wallet which allows you to spend unconfirmed funds. However, this is not recommended at all. In most wallets, you will find this option under the advances setting with the checkbox of “Use Unconfirmed funds”.  However, do note that it will take more time to confirm the transactions which are sent with unconfirmed inputs. Even if you send these transactions with a high fee, they will still take a considerable more time.


To sum up, the change addresses are an aspect of the cryptocurrency which allows users to transact using exact amounts, even if the transaction isn’t the total amount of the output which is being spent.

With the rapid growth of crypto currency, many people are turning to Bitcoin as a form of investment.  However, it is important to keep in mind the security of your private information when you invest in Bitcoin. It is not entirely safe to use your credit cards for Bitcoin transactions because you expose your personal and financial information to potential identity thieves and hackers. There are many ways that you can protect your personal and financial information while making a Bitcoin investment, such as using a secure online wallet or purchasing bitcoins with cash from an ATM.

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