Understanding Bitcoin Address Prefixes: A Closer Look at Ethereum’s Multi-Sig Escrow Addresses
For those new to cryptocurrency, it can be confusing when dealing with Bitcoin and Ethereum addresses. One of the most commonly asked questions is: What prefixes do these addresses follow? The answer may seem straightforward, but the reality is more complex than you might think.
Into the world of Bitcoin address prefixes and Explain why they are not always as simple as “1” at first glance.
What are Prefix-Based Addresses?
Prefix-Based addresses are a way to represent an Ethereum address using a shorter string of characters. These prefixes are used in conjunction
The address is composed of 66 digits (64 for the leading “1” and 2 for the suffix “.) That are divided into eight groups of seven, separated by dashes. Each group corresponds to a specific number from 0 to 65, where:
- The First Six Numbers Represent The Check Digit
- The Seventh Number is Always 1
The Prefixes
There are several prefix-based address formats in use on Ethereum:
Basic Address Format (with Leading “1”)
This format is the most common and is represented as a single hexadecimal string with “1” as its leading character.
`
0x01 …
`
Basic Prefix (with Leading “x”)
Prefix is introduced to indicate that the address should be split into multiple segments. The Format Changes to:
`
0xx …
`
* 2 For the Check Digit
* X for the remaining six digits
For example, 3m8xgfbkwkf7mibzpku3x2dowwavrdr1mhk is an address that follows the basic prefix format.
Multi-Signature (MS) Address Format
This format involves splitting the address into multiple segments using prefixes. The Ms Format Requires Three Different Prefixes:
M ,
s , and
P . Each segment starch with a specific prefix, followed by the check Digit.
`
0xms …
`
* M
for the first segment
* S for the second segment
* P
For the Third Segment
The MS Format is used in situations like Coinjoin, where multiple addresses are combined to create a single wallet address. 3m8xgfbkwkf7mibzpku3x2dowavrdr1mhk follows this format.
Example:
As we saw with the example above The prefixes used are:
* M (for the first segment)
* S (for the second segment)
* P (for the third segment)
Understanding prefix-based addresses can seem daunting at first, but it is essential to grass this concept when working with Ethereum and other cryptocurrencies.
The differing navigating the world of Bitcoin and Ethereum addresses.
