How does Segwit affect Bitcoin

in #cryptocurrency3 years ago

I'm sure you have heard about Bitcoin, it is the biggest cryptocurrency in the world. This intelligent transaction system has brought a lot of people a fortune. But today we are not talking only about Bitcoin, we are talking about SegWit or Segregated Witness, what it is and how it will affect Bitcoin.

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What is SegWit?

SegWit is a new technology that will be built into Bitcoin at the beginning of November 2017, this technology will not only allow more transaction to be made, it will allow them to reach their destination faster.

How does this work?

The Segregated Witness update improves the Bitcoin block, this block instead of carrying all the data of the transaction it limits to just carry the signature and the needed content. In the case of smart contracts, only the necessary parts to successfully end the contract will be inserted in the block. This data reduction of the transaction will allow the block to carry more transactions keeping the same capacity of 1 MB.

How SegWit affects Bitcoin:

There has been arguing about SegWit since it started, some investors love the idea because it is a reasonable technology, but there are also others that dislike it. Some of them think that Bitcoin should just keep their classic characteristics. These arguments could cause some serious trouble. At the same way that there is Bitcoin and Bitcoin Cash split up, there will probably be another third Bitcoin because they can't just think about a solution. All these split ups might impact negatively to investors.

Conclusion:

Finally, I think that SegWit is a great technology and that it should be inserted in Bitcoin. I hope there won't be another split up because this may cause some serious problems to Bitcoin, but there probably will be. Thanks for reading, follow this account to stay informed.

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