Extended Public Key (xpub)
An extended public key can derive a branch of public keys and addresses without exposing the corresponding private keys.
✦ Key Insight
It can support watch-only wallets and address generation, but it is highly privacy-sensitive.
✕ Common Misconceptions
Sharing an xpub can link many current and future addresses and expose transaction history.
Detailed Explanation
In Practice
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Public Key
The key derived from your private key that others use to verify your signatures and send you funds.
Wallet
Software or hardware that stores your private keys and lets you sign transactions.
Financial Privacy
Financial privacy is the ability to limit unnecessary disclosure of information about a person's balances, transactions, counterparties, and financial activity.
Wallet Clustering
Wallet clustering uses blockchain patterns and other evidence to group addresses that may be controlled by the same entity or wallet infrastructure.
Derivation path
A derivation path identifies where a particular key or account is generated within a hierarchical deterministic wallet's key tree.