Why Bitcoin Legacy Address got Replaced with Segwit - page 2.

arjunmujay

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Quote from: Charles-Tim on November 28, 2023, 07:02:05 AM

Quote from: arjunmujay on November 28, 2023, 06:58:56 AM

2. transaction speed is faster than usual.
Transaction speed is much more efficient, from confirmations that take up to 10 minutes, can be reduced to only 1-2 minutes.

This is not right, the transaction speed is still the same, but because of the fee which can be the same but make segwit transactions to have higher fee rate (sat/vbyte), that gives the transaction a higher priority for confirmation if compared with legacy address transactions.

Is that so?
I read in binance academy the transaction speed increase section, there it is explained that increasing transaction speed also affects transaction fees on the bitcoin network.
before segwit existed it could spend more than $30 per transaction, but after segwit appeared the cost became very low even $1 per transaction.

Therefore I estimate that every 10 minutes confirmation can be reduced to 1-2 minutes.

A Beginner’s Guide to Segregated Witness (SegWit)

Charles-Tim

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Quote from: arjunmujay on November 28, 2023, 06:58:56 AM

2. transaction speed is faster than usual.
Transaction speed is much more efficient, from confirmations that take up to 10 minutes, can be reduced to only 1-2 minutes.

This is not right, the transaction speed is still the same, but because of the fee which can be the same but make segwit transactions to have higher fee rate (sat/vbyte), that gives the transaction a higher priority for confirmation if compared with legacy address transactions.

arjunmujay

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Quote from: JackMazzoni on November 26, 2023, 05:45:25 AM

Why bitcoin legacy got replaced with segwit address. Is bitcoin legacy address not safe anymore?

Why replaced to Segwit?
As far as I know, transaction fees and transaction time speed are the main points of the SegWit address.

Please note, by using SegWit:
1. ordinary transactions can be reduced by up to 50% compared to legacy.
For example, when making a transaction using a legacy address, it costs $10, and when using a SegWit address, it only costs $5.
2. transaction speed is faster than usual.
Transaction speed is much more efficient, from confirmations that take up to 10 minutes, can be reduced to only 1-2 minutes.

ABCbits

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Quote from: pooya87 on November 27, 2023, 05:15:31 AM

Quote from: hosseinimr93 on November 26, 2023, 06:30:50 AM

Quote from: JackMazzoni on November 26, 2023, 06:13:25 AM

What is transaction malleability problem?

Transaction malleability is a bug which allows anyone to change the (unconfirmed) transaction, so that the transaction hash is changed without invalidating the signature and without invalidating the transaction.
This can't be done if all inputs of the transaction are native segwit.

I wouldn't call it a bug since it affects unconfirmed transactions only and they are never considered safe to begin with so relying on their hash was never a thing! It only is an issue when it come to second layer (Lightning Network).

In past, it's also issue for those who use software which can't handle TXID change which result "multiple" deposit.

Yamane_Keto

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Quote from: hosseinimr93 on November 27, 2023, 04:03:34 AM

Quote from: Yamane_Keto on November 27, 2023, 03:27:24 AM

Legacy Address is still gaining importance in message signing, as there is no agreed upon standard for segwit signatures, so it is better to use Legacy Address if you want to sign a message. bc1 native segwit has become the default option due to saving fees.

This is not true.
You sign message with your private key, not with your address.

If the tool you use doesn't allow signing message with a segwit address or it uses a different algorithm when signing/verifying message, the issue is related to the software.

I did not say that you cannot sign a message using a segwit address, but I said that there is no unified standard for that, and if there is a point where Legacy Address VS Segwit excels, it would be this point, although I agree with you that it is laziness on the developers part.

pooya87

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Quote from: hosseinimr93 on November 26, 2023, 06:30:50 AM

Quote from: JackMazzoni on November 26, 2023, 06:13:25 AM

What is transaction malleability problem?

Transaction malleability is a bug which allows anyone to change the (unconfirmed) transaction, so that the transaction hash is changed without invalidating the signature and without invalidating the transaction.
This can't be done if all inputs of the transaction are native segwit.

I wouldn't call it a bug since it affects unconfirmed transactions only and they are never considered safe to begin with so relying on their hash was never a thing! It only is an issue when it come to second layer (Lightning Network).

Additionally what you are describing is only one type of malleability that is done by third parties. Many of the ways to malleate a transaction have been prevented before with BIP62. SegWit fixed the rest involving the signature.
The other type that is still possible is when the owner of the key simply creates a different signature for the same transaction. That can never be prevented, nor does it need to be prevented.

Charles-Tim

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Quote from: hosseinimr93 on November 27, 2023, 04:03:34 AM

You can now use electrum and verify my message with both of above addresses.
If the tool you use doesn't allow signing message with a segwit address or it uses a different algorithm when signing/verifying message, the issue is related to the software.

Exactly. What I think is that in the past when segwit was first adopted, some wallets do not support it. Also are those brain wallet and paper wallet signing and verifying message tools online which some people are using to sign and verify just legacy address messages and not supporting segwit addresses. Making them to think that segwit is not widely used. But all the wallet that are supporting message signing with bitcoin address that support native segwit or any other address type can be used to sign a message. Or if not all, all the ones that I have used sign and verify message for native segwit addresses, unless they are not supporting native segwit.

hosseinimr93

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Quote from: Yamane_Keto on November 27, 2023, 03:27:24 AM

Legacy Address is still gaining importance in message signing, as there is no agreed upon standard for segwit signatures, so it is better to use Legacy Address if you want to sign a message. bc1 native segwit has become the default option due to saving fees.

This is not true.
You sign message with your private key, not with your address.

Look at the following example.

Private key:
L3Gif2E2Zdgc4kC47jLzpNtWvBLuE8rpSPowmYqZM2mC8Mjs8otT

Legacy address:
1Q4U4dfZJgBRqXrHAnv8FSCqKxzjqRJ4ca

Segwit address:
bc1qlnetknv5vza7vjakc22dkq895cczf4pkpkmcmm

Here is the message I just singed with the above private key:

Code:

This is my message.

And here is the signature.

Code:

IGflPCOgGqHfJ5Fb0q4AdTiFe1OZk8DNHGHitcfl7MtWWX9X/0GeBOec5OwZBl0cqV6/47Kt1scIS32BIzHU8HQ=

You can now use electrum and verify my message with both of above addresses.
If the tool you use doesn't allow signing message with a segwit address or it uses a different algorithm when signing/verifying message, the issue is related to the software.

Catenaccio

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Use this Transaction fee calculation tool will help to understand why Nested Segwit, Native Segwit were created. Taproot is another type of Native Segwit (bech32) address. With Taproot address, it will be bech32m, starts with bc1p. Bech32 address starts with bc1q.

https://bitcoinops.org/en/tools/calc-size/
https://jlopp.github.io/bitcoin-transaction-size-calculator/

In the tool, you can choose transaction type.

Legacy address: P2PKH transaction type
Nested SegWit address: P2SH transaction type
Native Segwit address: P2WPKH and P2WSH transaction type
Taproot address: P2TR transaction type

Bech32 adoption

Charles-Tim

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Quote from: Yamane_Keto on November 27, 2023, 03:27:24 AM

Legacy Address is still gaining importance in message signing, as there is no agreed upon standard for segwit signatures, so it is better to use Legacy Address if you want to sign a message. bc1 native segwit has become the default option due to saving fees.

This thread is old and started before segwit was implemented and people on this forum were using legacy address to sign a message, but if you go to the recent pages, segwit addresses are used to sign message.

I have not used a legacy address to sign a message before.

So way importance is legacy address having in signing of message?

I can sign a message on these wallets: Electrum (desktop), Bluewallet, Sparrow and Samourai. Also wallets like Bitcoin Core and Specter can be used to sign message. The first noncustodial wallet which is now close source and not recommended anymore, Coinomi support signing of message.

Yamane_Keto

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Legacy Address is still gaining importance in message signing, as there is no agreed upon standard for segwit signatures, so it is better to use Legacy Address if you want to sign a message. bc1 native segwit has become the default option due to saving fees.

hosseinimr93

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Quote from: JackMazzoni on November 26, 2023, 06:13:25 AM

What is transaction malleability problem?

Transaction malleability is a bug which allows anyone to change the (unconfirmed) transaction, so that the transaction hash is changed without invalidating the signature and without invalidating the transaction.
This can't be done if all inputs of the transaction are native segwit.

JackMazzoni

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Quote from: hosseinimr93 on November 26, 2023, 05:59:22 AM

As mentioned above, with using segwit addresses, you can pay lower fees for your transactions, but it may worth mentioning that the fee reduction was not the main reason of segwit introduction.
Segwit was introduced to solve transaction malleability problem.

What is transaction malleability problem?

hosseinimr93

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As mentioned above, with using segwit addresses, you can pay lower fees for your transactions, but it may worth mentioning that the fee reduction was not the main reason of segwit introduction.
Segwit was introduced to solve transaction malleability problem.

Charles-Tim

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P2PKH is not replaced because you can still use legacy addresses to make transaction.

With segwit, you can get about 42% to 52% fee reduction while making transaction. With legacy address, there is nothing like virtual byte or weight because the actual byte is the virtual byte. But with segwit, there is virtual byte or weight that is lower than the actual size of a transaction. This makes the transaction fee to also to be lower.

https://learnmeabitcoin.com/technical/transaction-weight
https://river.com/learn/terms/b/block-weight/

JackMazzoni

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Why bitcoin legacy got replaced with segwit address. Is bitcoin legacy address not safe anymore?

Topic: Why Bitcoin Legacy Address got Replaced with Segwit - page 2. (Read 442 times)