BitMEX’s parent company, 100x Group, awarded a $40,000 grant to Bitcoin developer Calvin Kim

BitMEX is a crypto exchange company whose parent company, 100x Group awarded a $40,000 grant to Calvin Kim. He is the developer of Utreexo , which is the Bitcoin (BTC) unspent transaction outputs (UTXOs) scalability solution .

An unspent transaction output is created when someone sends a Bitcoin transaction.  Bitcoin works by moving the coins altogether no matter if the user wants to send only one, the other one would still be moved and then returned to the user, as a UTXO.

UTXOs include all spendable Bitcoin and each Bitcoin has to maintain the current record for security. These records take up about 4 gigabytes of space and according to a blog post, their size may become “a major scalability bottleneck in the future”.

Utreexo and its aim

Utreexo is developed by Calvin Kim and its main goal it to solve this issue of space. The blog post explains that Utreexo is a hash based accumulator, which allows unspent outputs to be compressed into a smaller size. This will in no way harm the security. It also helps in maintaining a track record and proof of the funds which are exhibited while spending the coins.

Utreexo compresses these proofs to under one kilobyte and provides a long-term scalability solution as their size grows—albeit very slowly,

The announcement further added that Utreexo shrinks these proofs under one kilobyte and ensures a long term scalability solution as their size grows.

A Digital Currency Initiative research scientist at the Massachusetts Institute of Technology who is credited with inventing Utreexo, Tadge Dryja, states that 100x is doing  great job by not only funding Bitcoin research but also providing support for new customers to the Bitcoin open source ecosystem which is amazing.

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Jessica Bay

Jessica is a full-time writer and has been a Bitcoin Specialist for over 6 years. Providing daily cryptocurrency news and updates for NewsBitcoin24/7.com

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