# Core Architecture For privacy reasons, Veilnyx adopts a UTXO-based architecture (like in Bitcoin and ZCash), unlike Ethereum's simple account-based architecture. The transactions in this architecture approximately simulate the spending of physical cash notes in a peer-to-peer transaction. The UTXO (Unspent Transaction Output) can be considered as a digital **Note**. The bearer of the note has the authority to spend the note in a transaction, and optionally, may receive any change/leftover funds. More details ahead. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.veilnyx.com/technical-implementation/core-architecture.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.