The long-expected bitcoin update: what will change in the system?

468
16.09.2021
Repost
Taproot – IQeon

Taproot is the first bitcoin upgrade in four years, unanimously approved by miners around the world. But what exactly will this version of the network change? Today IQeon experts tried to answer this question.

What is Taproot?

Taproot is a new version of the Bitcoin blockchain that will improve the efficiency and security of transactions, as well as expand the potential of smart contracts.

For the first time, the idea of updating the first cryptocurrency and creating Taproot has been announced by Gregory Maxwell, the developer of Bitcoin Core, an open source software.

According to Alice Killeen, founder of the Bitcoin venture Stillmark, Taproot is very important for all entrepreneurs, due to the fact that this version of the blockchain provides them with more opportunities, namely, scalability, confidentiality of transactions and the promise of further development of smart contacts.

The uniqueness of the bitcoin network update is that, unlike the previous version, called ECDSA, there are no ideological disputes around Taproot. This unanimous approval is largely facilitated by the deliberateness and consistency of the ongoing transformations.

The peculiarities of Bitcoin blockchain update

  1. Schnorr’s signature

    A significant feature of Taproot, firstly, is a new algorithm called Schnorr’s signature.

    Schnorr’s signature is an authentication system, a kind of confirmation of a transaction with a smaller signature size compared to previous versions. Thus, the algorithm saves space in transactions, which allows you to hide the transaction amounts and the number of participants from prying eyes.

  2. MAST

    One more important feature of Bitcoin blockchain update is MAST.

    Merklized Abstract Syntax Trees (MAST) is a symbiosis of a syntax tree, which guarantees additional confidentiality for complex conditions, implemented using a set of characters of the same length. Confirming the transaction, MAST hashes the action of users, not allowing prying eyes to delve into the details of the transactions.

Perspectives

The update of Bitcoin blockchain is expected in November 2021. After it, in future, Bitcoin developers and his community are planning to integrate these improvements into the main code. They will make transactions more secure, more private, thus, Bitcoin will become more profitable.

Repost

Community

Join our community

General questions

General Questions?

We have formed a knowledgebase around IQeon platform, where you can find answers to questions oftenly raised within our community. We are always ready to answer your requests, feel free to check it out!

Are you a developer looking for integration?

Interested in beta-testing?

Join our community

Ask a Question

Fill in the e-mail and ask a question: