Gm , please help , I am in a loop.
If SegWit didn’t remove any data and signatures are still stored in the block, how does Bitcoin fit more transactions per block? Before SegWit, every byte was counted equally, but after SegWit, witness data (signatures) is counted at 1 WU per byte instead of 4 WU per byte. The block limit changed from 1 MB to 4,000,000 WU, allowing more transactions to fit. How did Bitcoin create more space?
Thank you
Because it changed the actual limit from 1,000,000 bytes to 4,000,000 weight units, where witness data is now counted as 1 weight unit per byte instead of the previous 4. It's not exactly a 4x increase because you can still have non witness data in the block, which still counts as 4 weight units per byte, but you can fit wayyy more witness data in there
so we changed the way we count. But the space taken on the block is similiar?
No the space taken on the block increased, it is basically a block size increase it's just an indirect one. Blocks are between 1-4MB now when full as opposed to just 1MB
So by calling it WU and seperatting the signatures. We have magically created more space?
I wouldn't say "magically created space", we increased the theoretical max blocksize limit 4x due to calculating tx sizes differently. The blocks can be and are bigger than before but you pay for that with disk space on your bitcoin nodes, nothing magical about it hahaa
The theory change created the space ?
I would look up the difference between witness data and core data in a tx. Segwit let's you put more witness data which leads to the increased block size, my mind isn't liking the phrase "create space" because it sounds like it became more efficient/took up less space but that's not the case. You use extra storage for every block on your bitcoin node since segwit was introduced.
Its still 1 mb block ?
A milllion bytes
Did the block weight increase , instead of the size ?
Am in a loop, thank your for your patience
I am able understand segwith is like a pouch that has the signatures
Does it mean all the signatures of that particular block are in this single pouch? where 1 b = 1 wu ?
We just segregated them and measured it as wu, and now we have more transactions in the block.
But in reality more space on ur hard sisk is being consumed, so how is it still 1 mb block ?
Good morning! You're correct that SegWit (Segregated Witness) didn't remove any data from the Bitcoin blockchain. Instead, it restructured how data is counted and stored, allowing more transactions to fit into a block. Here's how it works:
### Key Changes with SegWit:
1. **Witness Data Separation**:
- Before SegWit, all transaction data (including signatures) was counted equally toward the block size limit of 1 MB.
- SegWit separated the witness data (signatures) from the transaction data, storing it in a separate part of the block.
2. **New Weight Unit (WU) System**:
- SegWit introduced a new way to measure block size using **weight units (WU)** instead of just bytes.
- Non-witness data (e.g., transaction inputs and outputs) is counted as 4 WU per byte.
- Witness data (e.g., signatures) is counted as 1 WU per byte.
- This means witness data now takes up less "effective space" in the block.
3. **Block Size Limit Increase**:
- The block size limit was effectively increased from 1 MB to 4,000,000 WU.
- Since witness data is counted at 1 WU per byte, a block can now hold more witness data without exceeding the limit.
- In practice, this allows blocks to hold up to ~4 MB of data, but only if most of the data is witness data.
### How More Transactions Fit:
- By counting witness data at a lower weight (1 WU per byte), SegWit reduces the "cost" of including signatures in a block.
- This frees up space for more transactions, as the non-witness data (which is more critical for validating transactions) can now occupy a larger portion of the block.
- For example, a block could contain 1 MB of non-witness data and 3 MB of witness data, totaling 4,000,000 WU (1 MB * 4 WU/byte + 3 MB * 1 WU/byte).
### Summary:
SegWit didn't remove any data but redefined how data is counted. By assigning a lower weight to witness data, it effectively increased the block capacity, allowing more transactions to fit within the 4,000,000 WU limit. This is how Bitcoin achieved greater transaction throughput without directly increasing the block size limit in bytes.
