Author: Chenxi Cai 2017-11-30 05:52:24
Published on: 2017-11-30T05:52:24+00:00
The bitcoin developer community has been discussing a proposal to change the current auction system, which uses Generalized first-price auction, to either Generalized second-price or Vickrey-Clarke-Groves auctions. However, according to one result called Revenue Equivalence, switching to another fee schedule will not impact miners' fees unless the outcomes of the auction changes. The proposed Marginal Pricing would allow miners to implicitly choose the market sat/byte rate with the cheapest-fee transaction included in their block and remove the block size limit. This would regulate the dynamic block size limit by profit motive, maximize transaction fees for every block and prevent overpay since all fees would be fair. Low-fee transactions would eventually confirm, but miners targeting these transactions would hash a larger block and it is predicted that this scheme would result in two markets: a backlog market and a real-time market.
Updated on: 2023-06-12T22:21:56.127234+00:00