Substantial update to the Bitcoin protocol: The update, called Taproot, was approved four months ago among the community of Bitcoin developers and users, and is now in effect. The update came into effect using the “soft fork” method, in order to facilitate its implementation.
This is the most significant update of the protocol since 2017, and it includes a series of changes that should help Bitcoin withstand higher transaction loads and simplify the transfer of information to the blockchain. Among other things, it includes changing the signature to encrypt keys in order to increase security, simplify the transfer of information to the blockchain, add a TapScript that will make it easier to make transactions for payment transfers, and upgrade the protocol of Bitcoin wallets.
Bitcoin is currently trading at a rate of NIS 65,000 to the dollar, with the test now being to pass the change without significant glitches. Making a substantial change to the Bitcoin protocol gives an indication of the ability of the community of developers and currency users to propel the project forward and adapt its technology to developments.