BIP 174 PSBT: Partially Signed Bitcoin Transaction Standard
BIP 174 PSBT （Partially Signed Bitcoin Transaction） is a crucial standard in the Bitcoin ecosystem that enables secure multi-party transaction signing. This protocol allows multiple participants to collaboratively create and sign Bitcoin transactions without exposing their private keys to each other.The PSBT format serves as a container for incomplete transactions, containing all necessary information for signing while maintaining security throughout the process. It supports various signing scenarios including hardware wallets, multisignature setups, and complex smart contracts.
Key features of BIP 174 include support for multiple input types, witness data preservation, and extensibility for future Bitcoin improvements. The standard has become essential for modern Bitcoin wallet implementations and secure transaction workflows.
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