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Glossary

P2WSH (Pay to Witness Script Hash)

The SegWit version of P2SH for advanced scripts (e.g., multisig) with addresses starting bc1q.

P2WSH - "Pay to Witness Script Hash" - is the native SegWit version of P2SH. It carries the same "send to a script's hash" model into SegWit's witness structure, with all the SegWit benefits: smaller effective fees, no malleability.

Addresses start with bc1q and are noticeably longer than P2WPKH addresses (62 characters against 42), because P2WSH uses a 32-byte script hash (SHA-256) vs P2WPKH's 20-byte key hash (RIPEMD-160 of SHA-256). The longer hash provides stronger collision resistance, which matters for scripts that might be shared with potentially adversarial counterparties.

Where P2WSH is used in practice:

  • Multisig wallets. Native SegWit 2-of-3, 3-of-5, etc. BIP 48, the standard derivation scheme for multisig wallets, recommends P2WSH as the default.
  • Lightning channels. BOLT 3 builds the funding output and most commitment-transaction outputs, HTLC outputs included, as P2WSH.
  • Anything with non-trivial spending logic. Time locks, hash locks, vault constructions.

P2TR (witness version 1) offers better properties for the same jobs: aggregated signatures via MuSig2, Merkle branches (MAST) so only the executed script path is revealed, a smaller on-chain footprint, and key-path spends that look like any single-sig spend. The tooling is still catching up, though. Bitcoin Core added MuSig2 descriptors in version 30.0 (October 2025) and MuSig2 signing in version 31.0 (April 2026), and BIP 48 still recommends P2WSH. On the chain in September 2026, P2WSH spends (2.1% of all inputs) still outnumbered Taproot script-path spends (0.8%); Taproot multisig done with MuSig2 hides inside key-path spends and cannot be counted, but Bitcoin Core's tooling for it only arrived in 2025 and 2026. P2WSH remains the workhorse for multisig, with Taproot multisig arriving rather than arrived.

Key takeaways

  • Carries P2SH functionality into SegWit's witness structure
  • Reduces on-chain data usage for complex scripts/multisig
  • Preferred in modern wallets over older P2SH for advanced scripts

Corrected

  • Was: The entry said new multisig wallets 'typically default to Taproot in 2026'.

    Now: BIP 48, the multisig derivation standard, still recommends P2WSH as the default; Bitcoin Core only added MuSig2 descriptors in version 30.0 (October 2025) and MuSig2 signing in version 31.0 (April 2026); and in September 2026 P2WSH spends were 2.1% of inputs against 0.8% for Taproot script-path spends. The entry now says Taproot multisig is arriving rather than arrived. Details

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