First of all I want to thank Professor @gbenga for such a detailed lecture on Bitcoin network. I have got opportunity to learn from this lecture. Now I am going to submit my homework task.

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What is Bitcoin

Before going into further details, I would like to introduce Bitcoin to all of you. Bitcoin is a digital currency. It has no existence in real. It means it doesn't exist like other fiat currencies. It was introduced by Satoshi Nakamoto. This person also authored the white paper of Bitcoin. This digital currency was introduced in 2009. With the passage of time, it got famous and now it can be termed as the most powerful cryptocurrency in the world. It also the cause of the generation of other many cryptocurrencies in the market right now. In other words, It can also be termed as (Mother of Cryptocurrency). Whenever crypto name is spoken, the first name that comes into mind is Bitcoin. Then with the passage of time, there was need of a network to transfer, receive and trade crypto currency, then Bitcoin network was introduced.

Bitcoin Networks

There are two main networks currently in the world.

1. Legacy Network

2. SegWit Network

1. Legacy Network

These are original Bitcoin addresses. These were the addresses introduced for the first time to use on blockchain network. These addresses were also termed as P2PKH. These are also in use right now and are accepted by all wallets, exchanges and services. These addresses start with word 1. These addresses are continuing to work. On the other hand, these are not cost effective. It costs more than new network being used. It uses more space in a block on which transaction is being saved, that's why its fees are higher. It also takes considerable time to complete transaction data on a block.

2. SegWit Network

This is the latest updated version of Bitcoin network. By the growth of Bitcoin, transactions keep on increasing and it was needed to increase the speed of network and also increase the space of block. Then an idea came from Dr Piter Wuille and it was implemented. The idea was to seperate transaction signatures data from the transaction. Thus it could result in more space on block and it could increase size to 4Mb.

So this idea was implemented and SegWit network came into being. This network reduces the size of transaction data that is to be stored in one Bitcoin block. It increases space and also capacity to store more transactions. Thus it is cost effective and reduces transaction fees.

In the same way, it also increases the speed of transaction. It has reduced transaction time from hours to minutes. It also assures more security than ever. Moreover, this network is backwards compatible. It means it can be used to make transaction to legacy network.

The only thing that can be considered as drawback of SegWit network is all wallets, exchanges and services doesn't accept it. But it is a matter of time, when it will be accepted by all of them.

Conclusion

As we discussed in detail, I would prefer SegWit network as it is cost effective and also more transaction speed.

Professor: @gbenga

Thanks for Anticipation and appreciation:

@steemcurator01
@steemcurator02

Regards,
@mawattoo8