@ -81,7 +81,7 @@ From now on, if you see a multisig unlocking script, you should expect to see an
((("transactions", "advanced", "Pay-to-Script-Hash")))((("scripting", "Pay-to-Script-Hash", id="Spay07")))Pay-to-Script-Hash (P2SH) was introduced in 2012 as a powerful new type of transaction that greatly simplifies the use of complex transaction scripts. To explain the need for P2SH, let's look at a practical example.
((("import/export applications")))((("use cases", "import/export")))((("scripting", "Pay-to-Script-Hash", "import/export example")))((("Pay-to-Script-Hash (P2SH)", "import/export example")))In <<ch01_intro_what_is_bitcoin>> we introduced Mohammed, an electronics importer based in Dubai. Mohammed's company uses bitcoin's multisignature feature extensively for its corporate accounts. Multisignature scripts are one of the most common uses of bitcoin's advanced scripting capabilities and are a very powerful feature. ((("accounts receivable (AR)")))Mohammed's company uses a multisignature script for all customer payments, known in accounting terms as "accounts receivable," or AR. With the multisignature scheme, any payments made by customers are locked in such a way that they require at least two signatures to release, from Mohammed and one of his partners or from his attorney who has a backup key. A multisignature scheme like that offers corporate governance controls and protects against theft, embezzlement, or loss.
((("import/export applications")))((("use cases", "import/export")))((("scripting", "Pay-to-Script-Hash", "import/export example")))((("Pay-to-Script-Hash (P2SH)", "import/export example")))((("transactions", "use cases", "import/export")))In <<ch01_intro_what_is_bitcoin>> we introduced Mohammed, an electronics importer based in Dubai. Mohammed's company uses bitcoin's multisignature feature extensively for its corporate accounts. Multisignature scripts are one of the most common uses of bitcoin's advanced scripting capabilities and are a very powerful feature. ((("accounts receivable (AR)")))Mohammed's company uses a multisignature script for all customer payments, known in accounting terms as "accounts receivable," or AR. With the multisignature scheme, any payments made by customers are locked in such a way that they require at least two signatures to release, from Mohammed and one of his partners or from his attorney who has a backup key. A multisignature scheme like that offers corporate governance controls and protects against theft, embezzlement, or loss.
The resulting script is quite long and looks like this:
@ -528,7 +528,7 @@ Using this construct, we can build redeem scripts with tens or hundreds of execu
((("transactions", "advanced", "example")))((("scripting", "complex script example", id="Scomplex07")))In this section we combine many of the concepts from this chapter into a single example.
Our example uses the story of Mohammed, the company owner in Dubai who is operating an import/export business.
((("import/export applications")))((("use cases", "import/export")))((("transactions", "use cases", "import/export")))Our example uses the story of Mohammed, the company owner in Dubai who is operating an import/export business.
In this example, Mohammed wishes to construct a company capital account with flexible rules. The scheme he creates requires different levels of authorization depending on timelocks. The participants in the multisig scheme are Mohammed, his two partners Saeed and Zaira, and their company lawyer Abdul. The three partners make decisions based on a majority rule, so two of three must agree. However, in the case of a problem with their keys, they want their lawyer to be able to recover the funds with one of the three partner signatures. Finally, if all partners are unavailable or incapacitated for a while, they want the lawyer to be able to manage the account directly.
judymcconville@roadrunner.com
7 years ago