SegWit

SegWit, short for Segregated Witness, is a protocol upgrade implemented in some blockchain networks, most notably Bitcoin. It separates transaction data from the witness data, effectively increasing the block size limit without a hard fork. SegWit optimizes block space, improves transaction malleability, and introduces features like transaction batching and script versioning. It also enables the implementation of second-layer scaling solutions like the Lightning Network, which enhances the network's capacity for micropayments and faster, low-cost transactions.