A transaction is only confirmed when it is included in a block on the blockchain, at which point it has one confirmation. Each additional block is another confirmation.

Confirmations

Introduction

With regards to cryptocurrency, confirmations are basically measuring of how many blocks had passed since a transaction had been added to a coin’s blockchain

The more amount of confirmations, the more secure the transaction would be.

Each merchant must decide how many confirmations they require for each crypto coin. There is no magic number and the number of confirmations that are needed to be 100% safe increases with time. 

With that being said, there are a few accepted best practices. 

For example, for Bitcoin: 0 to 4 confirmations for small payments, 6 in general for general safety, and 9 for bigger transactions, 90 for very large transactions. However, but there is no such requirement.

Importance of Confirmations

Confirmations add extra security because every block that goes by basically adds on an extra layer of security, as it shows the network has accepted that block as a valid consensus, and that nothing had gone wrong, and thus it decreases the chances of a transaction being reversed.

Rates and Requirements

Each cryptocurrency has its own rate at which blocks are further mined, so, for example with Bitcoin where blocks are mined faster, the user would be waiting for way more confirmations! 

However, that detail aside, the general concept is the same for all blockchain-based coins be it Bitcoin or Ethereum

One can also see how many confirmations any transaction has by simply looking at the coin’s blockchain. One can even run a full node to see this information by themselves.

Confirmations

परिचय

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