<p>The underlying mechanism is to generate an address specifically for one payment. The address space for Bitcoin is mind-boggingly large (almost any 256 bits number is an address) so that's not an issue. That address is monitored for a payment and once the payment is received, automatically transferred to the merchant's final address (or payment).</p>

<p>As to software, it's a bit all over the map. You can either use something that will make the whole process transparent (like <a href="https://bitpay.com/" rel="nofollow">BitPay</a> or <a href="https://coinbase.com/" rel="nofollow">Coinbase</a>) or use lower-level APIs interacting with the BlockChain like <a href="http://www.blockcypher.com/" rel="nofollow">BlockCypher</a>.</p>

CC BY-SA 3.0
2014-04-29T22:47:00.107Z
2014-04-29T22:47:00.107Z
Matthieu
<p>I've been reading about Bitcoin on the news and I decided to learn how it works. I'm sorry if I'm posting dumb questions.</p>

<p>How these websites process transactions? How can they monitor one or more receiving addresses per registered users? Do they use custom software that interacts directly with the blockchain?</p>

CC BY-SA 3.0
2014-04-28T03:57:02.203Z
silkroad process transactions really badly right now. Most probably you will wait forever till it will process it, because it is already shut down.
Salvador Dali
CC BY-SA 3.0
2014-04-28T11:23:17.937Z
@SalvadorDali The original Silkroad yes, Silkroad 2.0 is still running AFAIK.
Jori
CC BY-SA 3.0
2014-04-28T11:33:39.620Z
@Jori AFAIK, there is no really stable market right now
Salvador Dali
<transactions>
How websites like silkroad and pandora process transactions?
Bitcoin Newbie
# How websites like silkroad and pandora process transactions?

(Asked by: username_0 on 2014-04-27)

I've been reading about username_0 on the news and I decided to learn how it works. I'm sorry if I'm posting dumb questions.

How these websites process transactions? How can they monitor one or more receiving addresses per registered users? Do they use custom software that interacts directly with the blockchain?

**Tags:** transactions

> **Comments:**
> **username_1**: silkroad process transactions really badly right now. Most probably you will wait forever till it will process it, because it is already shut down.  
> **username_2**: @username_1 The original Silkroad yes, Silkroad 2.0 is still running AFAIK.  
> **username_1**: @username_2 AFAIK, there is no really stable market right now  

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## 1 answers

### Answer by username_3 on 2014-04-29. Score: 0

The underlying mechanism is to generate an address specifically for one payment. The address space for username_0 is mind-boggingly large (almost any 256 bits number is an address) so that's not an issue. That address is monitored for a payment and once the payment is received, automatically transferred to the merchant's final address (or payment).

As to software, it's a bit all over the map. You can either use something that will make the whole process transparent (like [BitPay](https://bitpay.com/) or [Coinbase](https://coinbase.com/)) or use lower-level APIs interacting with the BlockChain like [BlockCypher](http://www.blockcypher.com/).


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