Coinbase users can finally send Bitcoin to Taproot addresses.

After years of absence, Coinbase users can finally get a major update: the ability to send Bitcoin Taproot Addresses.

Tuesday, Coinbase Address This gap allows its millions of users to take advantage of Taproot's privacy and cost-effective features, “creating more onchain access.”

The update addresses old frustrations for Coinbase users who are unable to take full advantage of the update since Taproot launched in November 2021.

Prior to this update, many Coinbase users reported problems sending Bitcoin to Taproot addresses, leading to delays and rejected transactions.

With the new integration, Coinbase users can send Bitcoin to Taproot addresses by joining platforms like all rightBinance and Kraken.

In the year Introduced in 2017 as the biggest Bitcoin update since SegWit, Taproot promised improved privacy, but Coinbase users were left behind for years.

Introduced by Bitcoin Core developer Gregory Maxwell, Taproot uses Schnorr signatures to compress complex transactions into small, efficient data packets.

This reduces the amount of data stored on the blockchain, improves scalability and reduces transaction fees.

With the Taproot update, complex transactions, like multiple signatures, can be made to look like normal Bitcoin transfers. This limits the amount of data exposed on the public blockchain, making it difficult to track transactions.

Edited by Sebastian Sinclair.