Author: Peter 2022-07-19 18:36:59
Published on: 2022-07-19T18:36:59+00:00
The question raised by Peter Kroll is regarding the business model of a person who mines with the intention to censor transactions when there is no block reward. The answer to this question lies in the fact that transaction fees provide censorship resistance, whether the miner is mining their own or someone else's transactions. This means that the miner would earn transaction fees for including transactions in the block they mine. In the absence of a block reward, miners would rely solely on transaction fees as a source of income. Therefore, if a miner has the intention to censor transactions, they would prioritize transactions that pay higher fees. This would result in slower confirmation times for transactions that pay lower fees, and potentially even excluding them from the block altogether. Overall, the business model of a miner who intends to censor transactions would be to prioritize high fee transactions and potentially exclude low fee transactions, in order to maximize their earnings through transaction fees.
Updated on: 2023-06-15T22:32:10.323721+00:00