Trezor and Taproot

06/02/2022 | Categories: Bitcoin Guides | Published by: BTCGOSU | Last updated: 30/05/2022

It’s already been a few months since the Taproot protocol was implemented into the Bitcoin network. Putting it in simple words so that the average Joe can understand it, Taproot aims to improve 2 things: user privacy and the development of smart contracts.

We normal mundane people don’t really have much of a saying regarding the smart contracts; a day in which we actually use them may arrive, but it’s sort of a collateral interaction with the crypto world than a deliberate action.

However, enhanced user privacy is actually something both good and useful for us. Some exchanges and services don’t accept cryptocurrencies that have some kind of relationship with gambling activities, so from a gamblers’ perspective, using taproot is beneficial; and most importantly, cost-free.

Taproot has been developed following the bech32 address format, so it enjoys the same low fees bech32 has.

Where can I start using this Taproot thingy, you may wonder. Well, one of the easiest and in my personal opinion most simple solutions would be using a Trezor Hardware Wallet. Why this? For starters, it’s a hardware wallet, so your coins will be unless you do something stupid, safe. It’s also compatible with a few major altcoins, such as ETH or DOGE, and it has a neat native application to handle everything from the same place. It is also compatible with Electrum software wallet, so there’s also that.

Creating a Taproot account on this application couldn’t be easier. All it takes is 4 clicks! With the device connected and unlocked, Click Accounts (first click), it should show Bitcoin by default, and there, click the + icon (second click). You will see a bunch of different Bitcoin accounts, but the one saying “Taproot” is the one that interests us. Click that one (third), and create (4th!). And there you go! There’s your Taproot account!

This is only one of the many possibilities a Trezor Hardware Wallet offers. Don’t have one yet? What are you waiting for!?