Quote:
Originally Posted by Nitzer Ebb
Yes, I am still confused how they figure out bitcoin payments since my address changes after each payment received. From what I understand, they have internal wallet A tied to my actual bitcoin address and some sort of minimum amount they collect. Then they make a payment to me. After that, I'm lost how they know my next address for payments? Any idea?
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An extended public key (Xpub key) can be used to create a new address, others can use it to create a new wallet address on your behalf as well (if you would share your Xpub key).
Since the public key (and also the extended public key) is derived from the private key, only the person with access to the private key can access the funds of those addresses.
This makes it possible to host your Xpub key on a server, have some script create a new address for each payment request, without the risk of exposing your private key. Basically a cold/hot wallet concept.
This is usually the route someone would take, if he or she would want to accept BTC payments without a third party.
Not exactly sure how they deduct their fee though. Perhaps the customer sends the BTC to a wallet owned by them first before taking their cut, and send the remaining BTC to your wallet... Something like that, I guess.