We are happy to announce that Kraken now supports withdrawals to Bitcoin Taproot addresses (Bech32m)!
Taproot is an upgrade to the Bitcoin protocol that aims to improve the privacy and efficiency of the world’s first and largest cryptocurrency.
Taproot included three proposals: Schnorr, Taproot, and Tapscript, which provided key aggregation, Merklized Alternative Script Trees (MAST), and an improved version of the Bitcoin Script programming language, respectively.
The privacy and efficiency benefits provided by Taproot are ultimately two sides of the same coin. By sending less transaction information to the blockchain, less transaction data is available to anyone checking Bitcoin’s publicly available ledger. Committing less data also creates space in each block for more transactions, which should lower fees and increase transaction throughput. Taproot also allows the development of smart contracts on the Bitcoin network, opening up new possibilities for decentralized applications (dApps).
Want to learn even more about the Bitcoin Taproot update? You can check out the beginner’s guide from the Kraken Learn Center What is Taproot? or Kraken Intelligence’s technical deep dive Taproot Primer: an update for the ages.
Did you know that you can also deposit Bitcoin to Kraken using the Lightning network?
While regular BTC transactions are limited by block times and can face high transaction fees, lightning network It allows instant settlement Y zero fees when you transfer BTC to or from your Kraken account. Also, we have reduced BTC deposit confirmations. from 4 to 3!
How do I deposit BTC in Lightning?
navigate to Financing > Deposit and select Bitcoin (BTC)
select lightning network
Enter the amount of satoshis* you want to deposit
Paste Generate deposit request
Copy and paste the generated invoice into your Lightning wallet, or scan the QR code
Enjoy ultra-fast deposit times and zero fees!
Check out our Lightning Network announcement post for more information: Kraken Now Supports Lightning Network Instant BTC Transactions.
These materials are for general information purposes only and are not investment advice or a recommendation or solicitation to buy, sell or hold any crypto asset or to engage in any specific trading strategy. Some cryptographic markets and products are not regulated and you may not be protected by government compensation schemes and/or regulatory protection. The unpredictable nature of crypto asset markets can lead to loss of funds. Taxes may be payable on any returns and/or on any increase in the value of your crypto assets and you should seek independent advice on your tax position.
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This post Bitcoin Taproot address now supports Kraken
was published first on https://blog.kraken.com/post/16740/bitcoin-taproot-address-now-supported-on-kraken/