Crypto exchange platforms Coinbase and Bitfinex announced on Tuesday that they are all ready to implement SegWit support for Bitcoin on their platforms.
Segregated Witness (SegWit) is a Bitcoin soft fork that reduces transaction time and fees.
SegWit had been available since August but Coinbase had been refusing to adopt the solution. Due to unnecessarily high Bitcoin transaction fees and longer transaction time, Coinbase customers have been really frustrated until the exchange finally announced the Bitcoin scaling upgrade. Coinbase users even started a petition forcing the exchange to implement the Bitcoin soft fork which got over 12,000 signatures.
Coinbase announced the SegWit adoption on Twitter and said that it is aiming for a “100% launch to all customers by mid next week”
Bitfinex, a Hong Kong-based crypto exchange that is ranked as #4 by trading volume, announced SegWit support too.
“SegWit provides not only an immediate benefit for users but also a foundation for future Bitcoin development. By supporting SegWit addresses, Bitfinex is tackling three of the biggest crypto-enthusiast concerns: transaction fees, transaction speed, and total network capacity. We are delighted that through this implementation we can provide our customers with bitcoin withdrawal fees that are up to 20 percent lower, as well as faster-than-ever transaction speeds,” said Bitfinex CTO Palo Arduino in the SegWit upgrade announcement.
Bitfinex traded a total of about $1.6 billion over the last 24 hours.
Bitcoin price gained about 5 percent following the announcement.
Bitcoin prices that crashed in December 2017, managed to recover in 2018. So, it seems like 2018 might be a year of epic Bitcoin growth and adoption.
Last month, a popular payment platform, Stripe announced to end support for Bitcoin due to high volatility, however, last week, Coinbase launched a payment solution for merchants, “Coinbase Commerce” on its platform that would enable merchants to accept payments in Bitcoin and other cryptocurrencies.