What is bech32 (p2wpkh) and how does it relate to cryptocurrencies?

3 answers

• Pearl FoxMar 13, 2024 · a year ago
  Bech32 (p2wpkh) is a type of address format used in cryptocurrencies, specifically in Bitcoin. It is an improvement over the previous address formats like P2PKH and P2SH. Bech32 addresses start with 'bc1' and are case-insensitive. They are designed to be more human-readable and error-resistant. Bech32 addresses are primarily used for SegWit transactions, which offer lower fees and increased transaction capacity. By using bech32 addresses, users can take advantage of these benefits and contribute to the overall scalability and efficiency of the Bitcoin network.
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• innocentia nomsaMar 27, 2022 · 3 years ago
  Bech32 (p2wpkh) is a way to represent Bitcoin addresses that are compatible with the Segregated Witness (SegWit) protocol. It is an upgrade to the traditional address formats and offers several advantages. With bech32 addresses, the transaction size is reduced, resulting in lower fees and faster confirmation times. Additionally, bech32 addresses are more resistant to typos and human errors, making them a safer option for users. Overall, bech32 (p2wpkh) is an important development in the cryptocurrency space as it improves the efficiency and usability of Bitcoin transactions.
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• Farah PolatJun 09, 2024 · a year ago
  Bech32 (p2wpkh) is a Bitcoin address format that is widely used in the cryptocurrency industry. It is a native SegWit address format, which means it is directly compatible with the Segregated Witness protocol. This address format starts with 'bc1' and offers several benefits. Firstly, bech32 addresses have a higher error-detection capability, reducing the risk of sending funds to the wrong address. Secondly, they have lower transaction fees compared to legacy address formats. Finally, bech32 addresses contribute to the overall scalability of the Bitcoin network by enabling the use of SegWit transactions. Many wallets and exchanges, including BYDFi, support bech32 addresses for improved transaction efficiency and security.
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