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Ali updated BIP322 after finding unresolved issues in Golang implementations; key changes include a human-readable prefix to identify signature variants and a new proof-of-funds format using full PSBTs.
BIP322 allows proving ownership of any output script, including multisig and taproot, enabling KYC or proof-of-reserve uses but requiring a full script interpreter.
Coldcard implemented BIP322 earlier in 2025; Sparrow Wallet has updated to the new version, while Ali submitted a PR for BitBox.
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