The cryptocurrency exchange company, Bitfinex, recently announced that it added support for withdrawals to SegWit addresses on its exchange platform, after more than two years of having activated this update on the Bitcoin blockchain.
In an official announcement, Bitfinex said it has added support for withdrawals to Bech32 addresses, a native SegWit output address format for Bitcoin.
To see the announcement: https://www.bitfinex.com/posts/427
In this way, Bitfinex joins the list of services that have added support for SegWit partially. Ideally, services such as exchange companies and wallets support sending bech32 addresses, since after there is a possibility that almost everything can be sent, people may be willing to adopt this address format to receive funds in bitcoins. It should be noted that the bech32 addresses start in bc1.
It should be noted that Bech32 is a native SegWit address format specified in the BIP 0173 improvement proposal, presented by Bitcoin Core developers Peter Wuille and Greg Maxwell in March 2017.
SegWit or Segregated Witness is a softfork update, activated on the Bitcoin blockchain in August 2017. SegWit was developed with the objective of solving Bitcoin’s malleability and scalability problems. It should be noted that it was the last change made in Bitcoin to be able to deploy Lightning Network.
The SegWit name is due to the fact that this protocol “separates the witness from the list of entries.” The token contains the data necessary to verify the validity of the transaction, but is not necessary to determine the effects of the transaction ”.
As SegWit is an optional update, services such as exchange houses and purses were not obliged to adopt it once it was activated in Bitcoin, but they have had the option of adding it (or not) in the time they consider it, of so that its adoption in the ecosystem has been gradual.
In mid-February the Exodus multi-active platform announced that it activated the SegWit update, giving its Bitcoin users the option to activate Bech32 addresses and enjoy the benefits of the Segregated Witness. The Exodus team, an application available for Windows, Mac and Linux, as well as mobile devices, began offering SegWit addresses from the Exodus 19.2.14 desktop version.
On April 15, the Gemini crypto exchange house announced, as part of its updates this year, the introduction of full support for SegWit addresses and lots of transactions, so that its users can use it not only to make withdrawals, but also deposits. That way, the exchange house founded by the Winklevoss twins became “the first major exchange to launch full SegWit support, complete with SegWit native deposit addresses,” Tyler Winklevoss said on Twitter.
On October 8, transactions with SegWit reached a new historical high for Bitcoin, registering 57.73% of expenses payments made with SegWit addresses, according to Transactionfee.info statistics.
The SegWit expense payment metric is calculated on Transactionfee.info by comparing the payments of SegWit transactions per day (“a transaction that spends one or more SegWit exits is considered a SegWit transaction”) with the number of total payments per day . “The intention is to provide a more comprehensive metric for the adoption of SegWit with continuous processing of batch payments,” they said in that source. On October 29, the percentage of SegWit expense payments was 52.95%, according to Transactionfee.info.