Couchbase Server 7.0 introduces support for N1QL transactions, enabling developers to perform a series of SQL-like operations on a database using a C program. The process involves setting up a program to handle transactions by providing the Couchbase bucket URL and credentials. The transaction uses a unique transaction ID, obtained from the START TRANSACTION command, which is crucial for executing subsequent queries until a COMMIT or ROLLBACK is issued. The program initializes a connection to a Couchbase cluster using the lcb_INSTANCE object and runs queries defined in a header file, handling query results through JSON parsing with the json-c library. Key steps include parsing JSON responses to extract transaction IDs and setting query parameters for transaction timeout and formatting. Callback functions are employed to manage transaction IDs and process result rows, showcasing the integration of N1QL transactions into the C SDK for Couchbase.