Working to understand transaction lifecycle. Some understanding of Bitcoin transaction lifecycle perhaps helps here. That is, a transaction is originated from a client request to a node. This node then broadcasts the transaction to all nodes. Once a certain number (51%?) have affirmed that the transaction is valid (well-formed) then nodes may begin mining this transaction. (This step is of course different, as in Cardano the staking algorithm would run, not a mining algorithm.) However, once a successful block is mined/wins staking, the successful node broadcasts the block. All nodes then begin confirming the block (for example by hashing the chain plus the new block and comparing this value to one provided by the successful node). Once a certain number of nodes (51%?) have confirmed the block, all nodes sink the chain to their local database. Finally the mining/staking reward is awarded to the successful node.

Undoubtedly I have oversimplified and perhaps misstated some steps. But the question is: how close is this to describing transaction lifecycle in Cardano? Is it possible to verbally summarize transaction lifecycle in a way that is mostly comprehensive?

1 Answer 1


This is indeed oversimplified, but is in principle how a transaction makes it from node to mempool to block.

I addressed a similar version of this question here, and Andrew Westberg also made a great video explaining it.

You can read more about transactions on Cardano at Emurgo's UTXO blog post.

  • Accepting this answer. Thanks for the external links they are helpful.
    – jerome
    Mar 8, 2022 at 20:56

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