In order for the network to become better, some updates are being made at december intervals. But the Bitcoin (BTC) Taproot update, which will arrive in November, is of extra importance. The BTC network will become compatible for smart contracts, and many more innovations will be available to the community with this update.
Will It Affect the Price of Bitcoin (BTC)?
Should we go back to the last update for this, namely July 2017? August July, the Segwit update arrived, and the price continued to rise until August 23. The price had increased by 50%. But this latest update is not expected to affect the price so greatly. The recently seen 67.000 dollar peak Bitcoin ETF he came with the news. Taprootupdate if it is a development that will improve network availability, that is, it is not seen as a catalyst that will directly affect the price by 50%.
Edward Moya, senior market analyst at Oanda, future Taproot he thinks that his update will not have a serious impact on the price. IntoTheBlock research analyst Juan Pellicer and Said Broctagon’s Guo think that the upcoming update will support the price increase in the medium and long term.
Bitcoin (BTC) Taproot Update
The Taproot upgrade, which will come into effect on November 16th, states that “Schnorr signatures it was designed to increase privacy protection in some transactions over the network, through an innovation known as “. That being said Ethereum (ETH) DeFi, which is an important price catalyst for its network, is now Bitcoin (BTC) it will also become possible on the network. Upgrade from developers BTC it will allow you to run smart contracts on the network. In other words, we can say that both the privacy and functional capabilities of the network are developing. You can find details about the technical details of the Bitcoin Taproot Update in our corresponding article.
“This is a revolutionary moment for Bitcoin,” said Don Guo, CEO of Broctagon Fintech Group.
For people interested in the future of Bitcoin (BTC), the upcoming update is considered more important than the price of 100 thousand dollars. Bitcoin (BTC) it will go beyond just being a store of value, it will be able to generate greater benefits.
The update, which has been expected for exactly 4 years, was approved by the miners this year. Developers since 2018 Taproot update he is working on. According to some, 4 years is a long time, but the updated system Bitcoin (BTC) when there is such a revolution as 4 years is quite short, developers have to be more rigorous and careful.
The Negative Sides of the Bitcoin (BTC) Taproot Update
This negative expression is more for governments. Improving privacy can help many states to prevent tax evasion, money laundering and any illegal activity. On the other hand Bitcoin (BTC) his community thinks privacy is a good thing.
The big problem is that the privacy-oriented capability that will come with this update coincides with the regulations being worked on. U.S. regulators may find the issue troubling.