What are UTXOs and how do they represent your Kaspa balance?

A UTXO — Unspent Transaction Output — is an individual chunk of KAS your address has received but not yet spent. Kaspa does not store your total balance as a single number; instead, your balance is the sum of every UTXO currently linked to your address, where each UTXO is the output of some past transaction. When you spend KAS, the relevant UTXOs are consumed and removed from your possession, and the recipient of your payment gains one brand-new UTXO of their own. For a beginner, the key takeaway is that Kaspa tracks ownership coin-by-coin through these outputs rather than through simple account totals, which is fundamental to how proof-of-work blockchains verify who owns what.