Author: Daniel Lipshitz 2022-12-18 08:06:15
Published on: 2022-12-18T08:06:15+00:00
GAP600 is a service provider that enables merchants, payment processors, and non-custodial liquidity providers to accept 0-conf transactions by analyzing the Bitcoin network. Their service is accessed via API, where clients send in the transaction hash and output address. They do not offer AML/KYC services and have no significant presence in Asia. Other companies have also developed their own 0-conf services, including a payment processor on a gambling platform, a standalone gaming payment processor, and a recently discovered payment processor. The debate over FullRBF behavior centers around mitigating accidental double-spends in multi-party transactions such as coinjoins and multi-party lightning channels. FullRBF makes intentional DoS attacks much more expensive by forcing the attacker to use tx-pinning. Without FullRBF, attackers could cause significant delays to multi-party transactions during congested mempool conditions. The political tradeoff is between centralized payment providers like GAP600, which benefit from the first-seen status quo, and the much larger group of users who use Lightning and coinjoins. Wallet of Satoshi claims to be performing 12,500 transactions per day, representing roughly 4% of the total payment volume of Bitcoin. BlueWallet and SBW also have 100K+ downloads on the Google Play store, suggesting they are equally popular. Together, they represent 12% of the total number of transactions on Bitcoin. GAP600 handles about 10% of all transactions, indicating a high degree of centralization that is undesirable for Bitcoin. Many merchants also do 0-conf on their own, but there is a lack of information on what security guarantees they rely on.
Updated on: 2023-06-16T03:25:14.548563+00:00