Bech32 vs P2SH Transaction Size Comparison

When it comes to transaction size on the Ethereum blockchain, there are two popular alternatives: Bech32 addresses and P2SH addresses. Both systems have their strengths and weaknesses, which we will explore in this article.

What are Bech32 and P2SH?

Bech32 is a new standard for generating transactions that combines the advantages of both BIP32 (Biproposal 32) and BIP27 (Biproposal 27). It uses a compact format to represent addresses, making them smaller than their P2SH counterparts. In contrast, P2SH is another popular approach to reducing transaction size.

P2SH vs Bech32: A Technical Comparison

| | P2SH | Bech32 |

| — | — | — |

|
Transaction Size (in bytes)

| Typically around 200-250 | Less than 200-250, up to 30% smaller |

|
Merkle Root Generation

| More complex process due to larger Merkle tree size | Simpler process with fewer Merkle root calculations |

|
Block Size Limit | Limited by block size limit | No explicit limit for Bech32 transactions |

As you can see, a full P2SH transaction typically requires 200-250 bytes. In contrast, Bech32 addresses are significantly smaller, typically 30% to 100% smaller in size. This reduction is due to the use of the BIP27 compact address format, which eliminates unnecessary data and reduces transmission costs.

What about transaction complexity?

Bech32 transactions often require fewer Merkle root calculations than P2SH transactions because they generate a single “address” rather than multiple addresses (i.e. script hashes). However, Bech32 may still incur additional computational overhead due to the use of the BIP27 compact address format.

Conclusion:

While both Bech32 and P2SH aim to reduce transaction size, Bech32 generally outperforms P2SH in terms of reduced transmission size. This makes it an attractive option for applications that prioritize speed over complexity. However, Bech32 may also incur additional computational overhead that may be a consideration for users with high-performance networks.

Conclusion:

The next time you plan to send or receive Ethereum transactions, consider the trade-offs between Bech32 and P2SH addresses. While Bech32 offers significant improvements in transaction size reduction, its slightly more complex Merkle root generation process may offset some of these advantages.