Thoughts on fee bumping



Summary:

The discussion revolves around the use of transaction sponsors and fee-bumping primitives in Bitcoin's network. While there are benefits to using these tools for managing fees, there are also potential risks to consider. One concern is the issue of data availability and redundancy, where transactions may be rejected if some nodes have not seen the parent transaction. Another issue raised is the pre-commitment to a fee-bumping key in CPFP outputs, which could potentially lead to compromised keys and render vaults unretrievable depending on the fee market. The use case for transaction sponsors is limited to fee-management, making it easier to specify targeted replacement policies. However, further analysis of the problems and requirements that new fee-bumping primitives should address is necessary before deployment.


Updated on: 2023-06-15T16:31:22.117497+00:00