Write About Everything

Significant changes to the bitcoin price are notable in the context of bech32 because transaction fees are paid in bitcoin terms rather than dollar terms. There are also transaction fees to consider if you’re using the Binance Fiat gateway, and these aren’t inconsequential. There is also speculation that China will ease restrictions on BTC exchanges now that President Xi Jinping has secured his position as head of the Communist Party of China for the foreseeable future. When the time came today, the hackers initiated a mass withdrawal from these accounts, generating a massive 7,074 BTC transaction from Binance’s main “hot wallet” to several smaller accounts. Therefore, it is better to have access to the safe and secure BTC wallet. Most recently, we have engaged in extensive good-faith discussions to reach a negotiated settlement to resolve their investigations. This week’s newsletter briefly describes two discussions on the Bitcoin-Dev mailing list, one about Bitcoin vaults and one about reducing the size of public keys used in taproot. This week’s newsletter describes progress on signet and an idea for just-in-time routing on LN.

● Additional Just-In-Time (JIT) LN routing discussion: in the JIT discussion described in the newsletter two weeks ago, contributor ZmnSCPxj explained why routing nodes needed zero-fee rebalance operations in many cases for JIT routing to be incentive compatible. This week he posted a suggestion to the C-Lightning mailing list on how nodes could be less incentive compatible but still prevent abuse when performing paid rebalancing for JIT routing. ● Proposed change to schnorr pubkeys: Pieter Wuille started a thread on the Bitcoin-Dev mailing list requesting feedback on a proposal to switch bip-schnorr and bip-taproot to using 32-byte public keys instead of the 33-byte compressed pubkeys previously proposed. 37, its author has created an implementation, documented it on a wiki page, opened a PR proposing to add support for signet to Bitcoin Core, and posted a draft BIP to the Bitcoin-Dev mailing list. In this bech32 sending support section, we look at the savings in real terms.

Also included are our regular sections about bech32 sending support and notable changes to popular Bitcoin infrastructure projects. Instead, Buterin and his team are building a completely new system that will run atop its own network. Bitcoin, released to the world in 2009 by a person or people called Satoshi Nakamoto, is not backed by a central bank or a government and is seen as an alternative payment system. Hence, an excellent and efficient substitute to the centrally controlled bank money. Actually, almost nobody did, because the Banco di San Giorgio was the first bank. ● Optech schnorr/taproot workshops: Optech is hosting workshops in San Francisco (September 24) and New York (September 27) on schnorr signatures and taproot. ● New Optech Compatibility Matrix: a new feature on the Optech website shows what wallets and services support certain recommended features, currently opt-in Replace-by-Fee (RBF) and segwit (with more comparisons planned for the future). Although this isn’t the near-universal support we’d like to see, it may be enough support that we’ll soon see more wallets switching to bech32 receiving addresses by default. ● Lack of bech32 change address support: because sending to bech32 addresses is still not universally supported, it makes sense for segwit-compatible wallets to generate P2SH-wrapped segwit receiving addresses by default.

For example, a motivation for the change was allowing bloom filters to be provided to particular peers (such as a user’s own lightweight wallet) even if the filters are disabled by default. The matrix is designed to help developers gauge how well supported features are and learn from the designs of early adopters. Its innovation has made it highly popular as a cryptocurrency platform, and the efforts of Binance’s developers and community members consistently enhance the platform. The proposed implementation also makes it easy for teams to create their own independent signets for specialized group testing, e.g. signet author Kalle Alm reports that “someone is already working on a signet with bip-taproot patched on top of it.” Signet has the potential to make it much easier for developers to test their applications in a multi-user environment, so we encourage all current testnet users and anyone else interested in signet to review the above code and documentation to ensure signet will fulfill your needs. We’ve previously discussed how much users and services can save by switching to native segwit (bech32) addresses, but we’ve only described that in terms of vbyte and youtu.be percentage savings. Nodes would keep track of how much routing fee they had earned from each channel and spend up to that amount on rebalancing.