An update for Trezor Suite, the main interface for Trezor hardware wallets, and firmware for Trezor Model One (version 1.10.4) and Trezor Model T (version 2.4.3) devices, are ready to install. To download and install these updates, simply open Trezor Suite and proceed by following on-screen instructions.
Not using Trezor Suite yet? From January 31 2022, Trezor Wallet will no longer be supported. Download or access Trezor Suite for free at https://suite.trezor.io/.
Trezor hardware wallets are now able to support the recent Bitcoin Taproot update. This introduces several changes to how your wallet works, including a new Account type and Taproot addresses.
At the same time, the team at Invity have made it possible to trade on a decentralized exchange directly from Trezor Suite, so you can enjoy anonymous swaps without needing to use a third-party wallet.
Customers who use a Trezor Model T device to store and manage Ethereum will also be happy to learn it is no longer necessary to scroll through the full contract data when signing a transaction and verifying the data can be skipped if the user prefers.
The Taproot upgrade which was activated in November is now supported by Trezor Suite. This introduces some major changes to Bitcoin that build upon the SegWit upgrade of 2017, which enabled support for the Lightning network. Taproot is expected to have long-term effects on Bitcoin utility and adoption, and will in turn see further advances in the coming years.
To use Taproot, you will need to add a Taproot account in Trezor Suite. Once you have updated your Trezor firmware and are running the latest version of Trezor Suite, you can create a new Taproot account by going to the Accounts page and adding a new account by clicking on the large green plus sign next to My Accounts in the left sidebar.
Select Bitcoin as the coin to add a new account for, choose Taproot from the drop-down menu, and click Add account.
Taproot accounts use a similar address format to SegWit, starting with the characters bc1. The difference is the fourth character, where SegWit follows with bc1q while Taproot uses bc1p.
By default, Trezor will use SegWit accounts to ensure compatibility with services such as exchanges who do not yet support Taproot. In the future, it is likely that Taproot will become more widely supported and will become the default account type.
Spending coins from Taproot accounts will be cheaper as a result of the change, with savings compounding as complexity of the transaction increases (by having more UTXO inputs or using multisignature schemes, for example). Receiving to a Taproot account is slightly more expensive, but once you have funded and begun using the account it is likely that you will see savings in the long run.
Soon we will also be featuring a blog covering the future of Bitcoin upgrades following Taproot. In the meantime, brush up on what it means for your Trezor hardware wallet by reading this article from earlier this year:
The more people who use Taproot accounts and addresses, the more everyone benefits from greater privacy. The SegWit upgrade took over two years to reach 50% adoption, but it was a much more controversial proposal at the time. Thanks to a more transparent implementation process, Taproot should become the most common standard much sooner. As more benefits of Taproot such as CoinJoin begin to appear in Trezor Suite, it will be beneficial to have Taproot addresses already set up and funded to take advantage of them.
Buying, exchanging, and selling cryptocurrencies directly from your Trezor hardware wallet is made easy and secure by Invity, a SatoshiLabs company that lets you compare rates across verified exchanges to find the most competitive offer.
Now, there is a new way to exchange crypto without KYC, thanks to Invity’s integration of 1inch, a decentralized exchange built on the Ethereum network. When using the Trade section under your Ethereum account in Trezor Suite, you will now be shown offers from the 1inch decentralized exchange alongside conventional exchanges.
Using Ethereum smart contracts, any token you purchase will be locked by the contract until your payment has been processed, meaning you avoid any counterparty risk associated with needing to trust a third-party exchange.
Decentralized finance serves well over a million users in the broader crypto space — and it’s growing rapidly. Incorporating a DEX into Trezor Suite allows those who are interested in DeFi to participate while maintaining the highest security standards for their coins.
Bear in mind that Ethereum gas fees must be paid in order to complete any transaction, so this new feature is best reserved for larger trades of several thousand dollars, as fees can be high during peak times.
A full overview of firmware changes for both Trezor Model T and Trezor Model One devices are covered in our release notes, which can be viewed on our Github via the links below.