What is Bitcoin Taproot?

Bitcoin Taproot is an upgrade to the Bitcoin scripting language that would improve the flexibility and privacy of Bitcoin's multi-signature functionality. It accomplishes it by introducing a new type of transaction output called a "Taproot output." This allows multiple participants to jointly control a Bitcoin address and create more complex smart contract functionality. In a Taproot transaction, all of the participants in the transaction contribute public keys, and a single script (the Taproot) is created that can be spent in…