What is Coinbase Transaction?
Coinbase transaction value is based on factors such as the value of each individual transaction, block height, and halving. Miners can add any customizable text to the blocks they create.
The value of a Coinbase transaction is determined by a number of factors. These include the value of each transaction validated by the block, the height (number of transactions) of the block, and the relative baseness of the block. Once a block reaches 100 confirmations, miners can mine BTC.
When a block is created, it contains approximately 100 bytes of data. There is also allocation for miners to include any text they prefer. For example, Nakamoto wrote the following message while mining the genesis block of bitcoin:
The message is a reference to a headline in the British newspaper The Times from January 3, 2009, and is often seen as a comment on the state of the global financial system at the time of bitcoin’s creation.
Nakamoto chose to embed this message in the genesis block to emphasize the need for a decentralized and trustless system of transactions free from the influence of central authorities and intermediaries.
In addition, miners can add any information they choose to personalize the block, sending an immutable message.