Author: Martin Stolze 2017-03-25 17:15:50
Published on: 2017-03-25T17:15:50+00:00
The concept of transaction tiering has been discussed on the bitcoin-dev mailing list. The idea is that miners could create their own private communication channels for submitting transactions, which they would not relay to other miners or the public node relay network. This would allow users to choose who they want to relay their transactions to, and incentivize Transaction Processors to source transactions from the public mempool as well as their proprietary mempool(s). The concern has been raised that miners would be incentivized to not relay higher fee transactions, because they would want to keep them to themselves for higher profits. However, a user may want to incentivise a specific Transaction Processor or many. A user can detect this behavior and withdraw his future business if he notices that his transaction is not included in a block despite there being transactions with lower fees included. The transaction could be advertised to different mempools and a Transaction Processor could lose this business to a competitor who processes the next block if he holds it back. It is noted that the physical location of the "miner" is irrelevant and that the authority lies with whoever governs the particular block space. A competitive market with multiple authorities would motivate transaction processors to behave in accordance with user interest.
Updated on: 2023-06-11T22:19:32.866930+00:00