The Bitcoin Improvement Proposals 340 through 342 were merged into the Bitcoin codebase on Thursday, signaling that the anticipated Taproot upgrade is ready.
Taproot and the associated technology of Schnorr signatures are considered to be the most important upgrade for Bitcoin in the past year. It is primarily a privacy improvement for complex spending conditions on Bitcoin like multisig transactions, time locks and other conditions based on Bitcoin Script.
As Cointelegraph reported previously, Taproot hides every additional spending condition beyond the one that was activated. For example, a transaction might be executed immediately if all four multisig signers agree, or it could require a certain amount of time to pass before funds are unlocke if only three out of four signers are present. Normally, an outsider is able to identify every possible condition, but with Taproot they will see only the one that was eve triggered.
Furthermore, thanks to Schnorr signatures, a pure multisig transaction can be made indistinguishable