Are you familiar with the concept of cryptocurrency? Yes? Then, you may know the importance of the security, scalability and confidentiality of this digital payment system. However, the lack of these three functions has caused many people’s concerns.
Even Bitcoin or Bitcoin stays the same, which is touted as the most prominent Cryptocurrency in the world. However, the introduction of Taproot eliminated these concerns.
Taproot was launched on November 14, 2021 as an upgrade to BTC (Bitcoin) The internetThis upgrade gave many people a sigh of relief, because since the evolution of SegWit, most people have been looking forward to its implementation.
The main goal of Taproot is to modify the operation of the BTC script to improve security, privacy, and scalability. However, many other improvements can be achieved by integrating Taproot and Schnorr signatures.
Taproot also aims to take advantage of the power of the network Smart contract Deal with the next level. All these advantages of Taproot make it the most important BTC upgrade to date.
You already know that Taproot is the most distinctive upgrade to date (the last major upgrade was SegWit in 2017). However, it is also important to understand the elements of Taproot upgrade.
The Taproot upgrade comes with three unique BIP or Bitcoin improvement suggestions. It includes Tapscript, Taproot and Schnorr signatures (this is a brand new digital signature concept). Speaking of the advantages to BTC users, Taproot did not let us down. This cutting-edge upgrade reduces transaction costs and improves transaction confidentiality.
In addition, the Taproot upgrade will also help BTC execute complex transactions and increase BTC’s capabilities or applications to provide a strong competitive advantage. Ethereum (In terms of supporting NFT and DeFi and the potential of smart contracts on the network).Notice NFT Represents irreplaceable tokens and Go to financial institution Represents decentralized finance.
The Taproot upgrade proposal was first proposed by BTC Core developer Greg Maxwell in January 2018. Next, Taproot was integrated with the BTC Core library in October 2020, when Pieter Wuille generated a pull request. Please note that a pull request is a way of suggesting contributions to an open development project.
However, node operators need to use Taproot’s new consensus rules to ensure their complete deployment. Finally, with the support of 90% of miners, the Taproot upgrade was officially launched on November 14, 2021. The upgrade is activated on block 709,632.
You already know how the Taproot upgrade has become a boon for BTC. Key improvements in Taproot contribute to Bitcoin’s privacy and application. Other major improvements brought by Taproot include:
Taproot allows BTC to complete more transactions in each block, which means that the TPS (transactions per second) rate has increased.
The Taproot upgrade reduces the amount of data that can be transferred and stored on BTC. As a result, network scalability has been improved.
Taproot also reduces the transaction costs of Bitcoin or BTC in the network.
One of Taproot’s significant advantages is that it strengthens the security of signatures in the BTC network. This means that the signature is no longer malleable, which means that the transaction signature on the Bitcoin network cannot be changed even before it is confirmed.
Note that signature malleability allows an attacker to modify the signature of a transaction and make it as if it never happened. It causes double spending problems in the BTC network, which may endanger the ethics of distributed ledgers. All this shows the importance of Taproot upgrade to Bitcoin.
The deployment of Taproot is expected to take the functionality of the Bitcoin network to a new level to simplify BTC transactions and make them fast and trustworthy.
Before the launch of Taproot, the BTC protocol was in the first layer of development, while Ethereum has reached the second layer and DApp.
However, Taproot’s upgrade allows BTC to pave the way for the use of smart contracts and increasing its applications to serve the DeFi and NFT markets in the future.
As the Taproot upgrade reduces the cost of BTC transactions, the network becomes more efficient and user-friendly. In addition, the BTC network can now incentivize more and more transactions than before.
The main root upgrade enables BTC users to ensure the privacy of every transaction.This is how BTC has become a very competitive choice market.
- Taproot integrates various BTC transaction outputs into a single Taproot output. Therefore, the upgrade makes the transaction indistinguishable, thereby improving the privacy of the transaction.
- Taproot uses the power of transaction structure technology and cutting-edge signature algorithms to increase data efficiency to a new level.
- The Taproot upgrade improves the programmability of BTC.
In addition, this upgrade introduces a new signature scheme to improve the security of the BTC network. Therefore, it becomes a dual-signature blockchain.
Although Taproot has some flaws, they seem trivial compared to its benefits. Please note that the shortcomings of Taproot can only be noticed when the network participants partially take advantage of the upgrade. 54% of BTC nodes utilize the power of Taproot, but this number has increased recently.
There is no doubt how the Taproot upgrade proved to be very beneficial to the BTC network. The combination of Bitcoin and Schnorr signatures brings security, scalability, privacy, and other features to a new level.
In addition, these improvements in BTC are also expected to increase people’s curiosity and interest in Bitcoin. Lightning Network. This upgrade also helps make multi-signature a widely accepted industry standard.
Regardless of your level of use of the Bitcoin network, the upgrade will change your experience of the BTC network in terms of security, privacy and efficiency.
The Taproot upgrade expands the BTC network and makes transaction processing more efficient. Therefore, Bitcoin is becoming a first-class trading platform.