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Big News Is Coming for Bitcoin, Keep Watch on November 16 -Breaking

© Reuters. Big News for Bitcoins, Stay Tuned on November 16
  • Taproot Update coming November 16th, 2021
  • Bitcoin’s blockchain will soon see many new features on its network.
  • Bitcoin will soon have access to a slew of new benefits.

Kraken’s Director of Growth Marketing — Dan Held, tweets about potentially groundbreaking news. The crypto community is told by him that Bitcoin will be getting a massive upgrade. This upgrade is known as Taproot and will be available on November 16.

He also followed up his tweet with an informative article on Taproot. There were many comments on this declaration. Many of these responses encouraged people to purchase the dip. Meanwhile, other responses were firm on their ‘HODL HODL HODL’ stance.

Taproot: What exactly is it? What benefits does Taproot offer Bitcoin (BTC) users and their customers? Is it as innovative as Held says? This is the answer to a more efficient and scalable Bitcoin network. Well, let’s take a deep dive into the project and find out for ourselves.

Taproot: What’s it all about?

Taproot, a Bitcoin upgrade proposal is available. On November 16, it will make its debut. The upgrade will bring a variety of new features and capabilities to the Bitcoin network. It will improve the privacy and security of transactions, as well as strengthen core cryptography.

Quick history, it was Bitcoin’s core contributor and former Blockstream CTO — Gregory Maxwell, who proposed Taproot. The idea is to expand Bitcoin’s smart contract flexibility. This upgrade is a major one. This is why many core contributors have gathered their minds to tackle the Schnorr signature idea.

Let me clarify that Schnorr signatures are one of three Bitcoin Improvement Proposals. Tapscript, Taproot themselves are the other two. They are collectively known as BIPs 342, 342, 342, 341, and 341. These new BIPs will allow the Bitcoin network to offer greater efficiency, flexibility and privacy.

These BIPs can make such an impact and bring about so many important changes to the network. Taproot is introducing Pay-to-Taproot, a new script type. It is a way to use Bitcoin in a completely new manner. All BTC are ‘locked up’ within scrips. This is because the P2TR offers more flexibility.

Understanding BIPs

BIP 340 is the key to bringing Schnorr Signatures on the Bitcoin Network. This BIP also explains how public keys are encoded and signed in Bitcoin. For example, the public keys that are used to sign Schnorr signatures occupy 32 bytes while the Schnorr entire signature takes 65 bytes. It’s less space than ECDSA Signatures.

BIP 340 outlines the details required to encode and generate Schnorr Signatures. BIP 341 describes how the Bitcoin protocol will incorporate Schnorr Signatures. To evaluate the signatures, it is necessary to update Bitcoin’s script.

Taproot will integrate Merkelized Alternative Script Trees, (MAST) as well. Users can now lock multiple script outputs using the blockchain. Uniquely, if Merkle tree data is exposed, the Merkle Root can then verify that data was from Merkle tree.

Lastly, the final piece of the puzzle is BIP 342 — Tapscript. This proposal adds several new opcodes to allow transactions for P2TR. This new script allows for the verification of Schnorr signatures as well as Taproot spendings. Tapscript has been designed with flexibility in mind for future P2TR spends. Tapscript will also allow for future, unanticipated upgrades.

Here are some of the key benefits

Taproot offers many advantages to Bitcoin users. Taproot is a long-awaited upgrade. The launch of this upgrade will have multiple benefits. It is clear that it will save space. It offers greater freedom on the blockchain because P2TR locks BTC directly into public keys and not the hash for the public key.

Privacy is next on our list. Multisig contracts will look the same as single contracts thanks to Schnorr signatures (key aggregations) and Schnorr signatures. Taproot users can enjoy greater privacy.

Taproot allows BTC to lock onto multiple scripts simultaneously with MAST. Security upgrades are next. Security is made much more secure by Schnorr signatures. This will increase the potential of blockchain. Indeed, users should be very excited for Taproot’s debut.

In conclusion, Taproot’s Bitcoin update will likely be revolutionary. This upgrade may be a trip for analysts to see how it affects the Bitcoin price. Most analysts want Bitcoin to rise above $100,000 before the year ends. Taproot could be that engine. We’ll just have to wait for November 16 and see for ourselves.

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Mike Robinson
Mike covers the financial, utilities and biotechnology sectors for Street Register. He has been writing about investment and personal finance topics for almost 12 years. Mike has an MBA in Finance from Wake Forest University.