Taproot, Bitcoin’s long-anticipated upgrade, has activated
A crazy thing with Taproot is:A company could create a virtual bank to handle all transfers with its suppliers by doing a single onchain transaction.From the outside, it would look like a normal "Someone sent some coins from address A to address B" transaction.But internally, a key needed to spend the funds is only valid if the company and all of its suppliers sign it.This means every time there is a transaction between the company and one of its suppliers, the company would send out a signed message with the new spending conditions (the new balance of the company and every supplier) to the supplier network. Everyone signs it and that's it. It does not go on chain.Only if a participant becomes uncooperative, the latest state will go on chain and everyone will get what they own.So in the future, two transactions on the Bitcoin chain a few years apart could be "Someone sent something somewhere in December 2021 and then they send something somewhere in June 2025". Or it could be "BMW did ten thousand transactions with its suppliers". You don't know. Both look the same on chain. And all of the transactions were free, instant and possible 24/7.