Taproot
Bitcoin upgrade from 2021 — improved privacy, Schnorr signatures, foundation for Ordinals.
Taproot is the most significant Bitcoin upgrade since SegWit (2017), activated in November 2021 through a soft fork.
What it brings: 1. Schnorr signatures — replacement for ECDSA • More efficient, less block space • Batch verification — verify multiple signatures at once • Key aggregation — multisig looks same as regular transaction (privacy)
2. MAST (Merklized Alternative Script Trees) • More efficient complex smart contracts • Reveals only used part of script, not entire logic
3. Tapscript • Updated script language for Bitcoin • Easier future upgrades
Effect:
•Multisig transaction looks like regular one — privacy
•Lightning Network channels more efficient
•Foundation for Ordinals and BRC-20 (inscriptions use Taproot witness space)
Activation: 90% hashrate signaled support, activated at block 709,632.