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@ -1511,29 +1511,16 @@ As we can see from the previous examples, upgrading to Segregated
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Witness is a two-step process. First, wallets must create special segwit
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type outputs. Then, these outputs can be spent by wallets that know how
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to construct Segregated Witness transactions. In the examples, Alice's
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wallet was segwit-aware and able to create special outputs with
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Segregated Witness scripts. Bob's wallet is also segwit-aware and able
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to spend those outputs. What may not be obvious from the example is that
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in practice, Alice's wallet needs to _know_ that Bob uses a segwit-aware
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wallet and can spend these outputs. Otherwise, if Bob's wallet is not
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upgraded and Alice tries to make segwit payments to Bob, Bob's wallet
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will not be able to detect these payments.
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wallet is able to create outputs paying
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Segregated Witness scriptPubKeys. Bob's wallet is also segwit-aware and able
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to spend those outputs.
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[TIP]
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====
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For P2WPKH and P2WSH payment types, both the sender and the recipient
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wallets need to be upgraded to be able to use segwit. Furthermore, the
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sender's wallet needs to know that the recipient's wallet is
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segwit-aware.
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====
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Segregated Witness will not be implemented simultaneously across the
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entire network. Rather, Segregated Witness is implemented as a
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Segregated Witness was implemented as a
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backward-compatible upgrade, where _old and new clients can coexist_.
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Wallet developers will independently upgrade wallet software to add
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segwit capabilities. The P2WPKH and P2WSH payment types are used when
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both sender and recipient are segwit-aware. The traditional P2PKH and
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P2SH will continue to work for nonupgraded wallets. That leaves two
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Wallet developers independently upgraded wallet software to add
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segwit capabilities.
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Legacy P2PKH and
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P2SH continue to work for nonupgraded wallets. That leaves two
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important scenarios, which are addressed in the next section:
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- Ability of a sender's wallet that is not segwit-aware to make a
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