The Bitcoin network faces a lot of scrutiny when it comes to its scalability or lack thereof. Segregated Witness, or SegWit, can make a meaningful difference on that front, yet its usage levels were always relatively low. That is now changing for the better, as blcockhain.com finally made this the native transaction type.
Blockchain.com Makes The Right Call
When even companies like Blockchain.com take multiple years to make the transition, there are some concerns in this industry. Some Bitcoin service providers have delayed integrating Segregated Witness as a native transaction solution for the longest time. No one knows why that is the case, but without support from these providers, the adoption of SegWit will remain very low.
The support of Blockchain.com is monumental for the adoption of SegWit, however. The company represents roughly 33% of all Bitcoin transactions on the network. As it now supports Segregated Witness by default, the adoption of this technology skyrockets. There is still much room for improvement, even though everyone will benefit from paying lower transaction fees when spending BTC.
Announcing something on this level on April 1st is either a clever marketing stunt or a way to troll. Although the company hinted at SegWit a few months ago, many assumed it was an April Fool’s joke. No one took it seriously, yet two months later, the company effectively provides support for this scaling technology. A remarkable turn of events for the world’s leading cryptocurrency, although better late than never.
Regardless of the ulterior motives of Blockchain.com, the integration of SegWit is a significant step for the network. Although it remains unclear if all users make use of SegWit in the future – some might even leave the platform because this solution is now integrated – it remains intriguing. This integration’s potential impact on the Bitcoin mempool will prove intriguing, as a lower mempool means better transaction fees for all users.
SegWit Statistics Improve
Per TXStats, it would appear the decision by Blockchain.com already makes a positive impact on the network. SegWit usage has risen from below 50% to over 73% in a matter of weeks. When the most significant Bitcoin wallet provider supports this solution, it is only normal to see the overall numbers go up. Sustaining this growth level will be the next hurdle to overcome, as SegWit has never sustained a growth curve just yet.
Unfortunately, it would appear the overall network volume occurring via Segregated Witness is not noting much of an increase. There was a big spike initially, but that momentum has cooled off again. It will be interesting to see what happens in the future, as increasing the volume through SegWit is essential. That may prove rather difficult given the current circumstances.
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