Crypto Mining

Bitcoin Taproot Upgrade Update & Its Significance For the Mining Network.

The road to the Taproot upgrade finally arriving later within this year in 2021 is already underway, with leading Bitcoin [BTC] mining pools already signaling support.

In line with official data from Taproot.watch, a webpage created by Bitcoin developer Hampus Sjöberg, Taproot signaling now accounts for over 44% of the entire Bitcoin hashing power as of the time of reporting.

AntPool & F2Pool – the 2 leading Bitcoin mining pools by hash rate – are among the earliest supporters of the Taproot activation within the mining arena. Other pools in support are Foundry USA and Slush Pool, with the latter liable for mining the primary signaling block.

Based on Bitcoin’s consensus, Taproot activation will solely proceed if 90% of all mined blocks include an activation signal within an issue adjustment window [2,016 blocks].

This consensus agreement must happen in one of the problem epochs between now and 11th Aug. to be locked in as a network upgrade for November. As reported earlier, the present difficulty period began on 1st May after a 12% downward adjustment.

As of reporting time, only 97 signaling blocks have emerged within the present window. Meanwhile, miners liable for 382 blocks have elected to not include a “signal bit.”

The “no votes” by these miners, which account for 19% of the 2,016 blocks within the present difficulty window, means the Taproot activation can’t be locked in until a minimum of subsequent difficulty epoch.

However, given the reported support by miners for Taproot, the activation – touted to be the foremost significant for Bitcoin in over 4 years – is predicted to proceed without the max. amount controversy as the Segregated Witness saga of 2016 and 2017.

Taproot as an upgrade to the Bitcoin protocol will reportedly allow users to mask additional spending conditions, which could have significant implications for Bitcoin’s smart contract capabilities.

The ability to cover additional spending conditions beyond those triggered by the transacting parties could also improve Bitcoin’s privacy.

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