Bitcoin has never been that strong and it's power will be unleashed furthermore by enabling SegWit in transaction processing. Segwit is a proposal to allow transaction-producing software to separate (segregate) transaction signatures (witnesses) from the rest of the data in a transaction, and to allow miners to place those witnesses outside of the traditional block structure. This provides two immediate benefits:
- Elimination of malleability: Segregating the witness allows both existing software and upgraded software that receives transactions to calculate the transaction identifier (txid) of segwit-using transactions without referencing the witness. This solves all known cases of unwanted third-party transaction malleability, which is a problem that makes programming Bitcoin wallet software more difficult and which seriously complicates the design of smart contracts for Bitcoin.
- Capacity increase: Moving witness data outside of the traditional block structure (but still inside a new-style block structure) means new-style blocks can hold more data than older-style blocks, allowing a modest increase to the amount of transaction data that can fit in a block.
NiceHash always supports great technologies that helps the advances in Bitcoin ecosystem. Therefore we are announcing immediate support for SegWit and will be signaling support for SegWit through our well-established solo mining pool, which is already running the latest Bitcoin Core daemon wallet.
Go, go, Bitcoin!