The percentage of Bitcoin transactions using Taproot addresses has plummeted from 42% (in 2024) to around 20% currently, according to Willy Woo, citing Glassnode data, possibly related to security concerns regarding quantum computing.
Willy Woo stated that this was the first time he had seen the latest output format lose user acceptance. He suspected the primary reason was that Taproot might be more vulnerable to quantum attacks, while SegWit and Legacy were considered less susceptible.
- Taproot usage decreased: 42% (2024) to approximately 20% currently.
- Willy Woo is suspected to be concerned about security issues surrounding quantum computers.
- Woo suggested switching to a SegWit address to increase protection.
Taproot loses market share in Bitcoin trading.
Glassnode data shows that the percentage of transactions using the Taproot output type has decreased from a peak of 42% in 2024 to around 20% currently.
Willy Woo noted that this is a rare sign: Bitcoin's latest output format is experiencing declining adoption. He said this is the first time he has observed a new standard losing adoption in on- chain user behavior.
The drop from 42% to ~20% shows a significant shift away from Taproot, while older formats like SegWit and Legacy continue to be used and are XEM less susceptible to quantum computer attacks.
Quantum risk hypothesis and recommendations for switching to SegWit.
Woo suspects Taproot poses a higher risk of exposure to quantum computers, while SegWit and Legacy are less sensitive, prompting users to revert to older formats.
He stated that last month he stressed Bitcoin's need to defend against threats from quantum computers and suggested users switch to SegWit addresses to increase their layer of protection. This context may help explain the recent decline in Taproot's share in transactions.
