What are Bitcoin covenants, and how do they work?

What are Bitcoin covenants, and how do they work?

Bitcoin improvements can be achieved by implementing covenants. This article explains covenants, how they work and the debate around them. Drawbacks of Bitcoin covenantsVarious prominent Bitcoin experts, including Adam Back, Jimmy Song and Andreas Antonopoulos, have raised some concerns over the implementation of restrictive covenants, in particular with the BIP119.In particular, Antonopoulos has voiced concerns over "recursive covenants" that the new update could convey, thereby deteriorating the network. A recursive covenant occurs when a programmer restricts a transaction, but he does....


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