The SegWit update to Bitcoin’s protocol is slowly gathering momentum. According to data from TransactionFee.info, on the 14th of July, the percentage of bitcoin transactions using the SegWit protocol broke the 40% mark:
SegWit was activated in August of last year. Most programmers within the Bitcoin community believe that the SegWit protocol will allow for an increase in the cryptocurrency’s transaction capacity by 40 - 70%.
From a purely technical perspective, the Bitcoin network can currently handle from 3 to 7 transactions per second (with the block size limited to 1MB) or 300k – 400k transactions per day. It is believed that SegWit could boost this capacity to an average of 500k – 700k transaction per day.
While SegWit won’t solve Bitcoin’s scaling problem, it is a small, but important step towards increasing the system’s capacity.