What is the new segwit network option on binance and how does it work? Recently Binance announced support for segwit deposits. I see old address and lot of other options on the right with segwit in the end. Is it a new network? What are the other options mentioned on Binance to deposit BTC and are they similar to segwit?
On 2020-12-24, Binance announced support for deposits to native segwit addresses.
Segregated witness (&quot;segwit&quot;) refers to a soft fork that activated a series of Bitcoin improvement proposals (BIPs) in 2017. Among other things, segwit introduced two new standard output types, Pay to Witness Public Key Hash (P2WPKH) and Pay to Witness Script Hash (P2WSH). These native segwit outputs are more blockweight efficient than prior equivalent output formats, but wallets had to be updated to create them.
After three years, receiving payments to native segwit addresses is considered best practice, and almost all wallets and services are able to send to native segwit addresses.