Author: Jochen Hoenicke 2016-05-14 12:15:16
Published on: 2016-05-14T12:15:16+00:00
On the Bitcoin-dev mailing list, Daniel Weigl suggested defining a common derivation scheme for BIP44 compatible wallets to handle P2(W)SH receiving addresses with the approaching implementation of SegWit. He asked for feedback from other wallet developers before starting a BIP. The discussion showed that starting a new BIP is a good idea because everyone would do it differently otherwise. Option 1 would have one account that supports both non-segwit and segwit addresses while option 2 would have one p2pkh-only account and one segwit-only account that are completely separate. Jochen preferred option 1 and suggested Aaron's trick to avoid scanning twice the addresses. One disadvantage of option 1 is that a non-segwit wallet would ignore all segwit outputs, which means that the balance it shows is smaller, but this would not lead to losing money except when sweeping the account with a p2pkh-only wallet and then throwing the xprv away. Option 2 could also be done to appear as if it was only one account, but there is no advantage over option 1 in that case.
Updated on: 2023-06-11T05:22:21.017172+00:00