Taproot activation underway on the Bitcoin network

Following the mining difficulty re-adjustment on Saturday, May 1, at block #681 408, Bitcoin mining pools may signal support for the Taproot upgrade.

Taproot signalling on Bitcoin can now start…https://t.co/uzJXPLZduO

— BitMEX Research (@BitMEXResearch) May 1, 2021

Miners supporting the upgrade will begin including in the mined block special data called a ‘signal bit’. SlushPool was the first to do so.

The first block signalling for Taproot has been mined

Congrats to @slush pic.twitter.com/vKfZ7GWEFF

— BitMEX Research (@BitMEXResearch) May 2, 2021

The mechanism envisions a three-month window during which, in any of roughly two-week periods between difficulty recalculations, 90% of mined blocks must signal support for the upgrade.

This would signal that roughly 90% of miners are prepared to adopt the new rules. Once the threshold is reached, Taproot will activate within the next three months. Until then, the upgrade will remain blocked.

If approved by miners, it will be one of the most significant milestones in the history of cryptocurrency.

In addition to improving scalability and privacy, the upgrade aims to enhance network functionality and fungibility of coins.

Earlier, ForkLog explained why some developers consider Taproot a privacy threat.

Earlier, in November 2020, Antpool voiced support for the update, and a month later — Binance Pool.

The final Schnorr/Taproot code included in the January release Bitcoin Core.