Last week's second IRC workshop on L2 onchain support and wrap up

Summary:

During the recent online Sydney Socratic Seminar, there was a discussion on L2 onchain support. The session focused on the rules of BIP 125 RBF and proposed ideas such as SIGHASH_IOMAP, fee sponsorship, and transaction mutation that were not covered during the IRC workshops. A transcript of the session is available at https://btctranscripts.com/sydney-bitcoin-meetup/2021-07-06-socratic-seminar/. The second workshop, which took place on June 29, 2021, focused on fee bumping and package relay. Details on package relay can be found at https://github.com/ariard/L2-zoology/blob/master/workshops/package-relay-and-friends.md. Attendees discussed enabling two transaction packages for Lightning and DLCs, with package RBF (replace-by-fee) being possible if there are two competing packages with competing Lightning commitment transactions in them. The workshop also addressed the idea of using hints rather than relaying transactions themselves to communicate information on whether it makes sense to fetch the rest of the package.Additionally, the session explored witness replacement and Taproot, with a future soft fork potentially giving meaning to the annex in Taproot. The annex could be used for inflating the fee rate of a witness, allowing for a same-txid-different-wtxid coming after with a lower fee rate but higher vbytes size to override package limits. However, the annex operates at the consensus level and can only increase the weight of a transaction, not decrease it.Overall, the session's goals were to determine whether two transactions packages were enough to support currently deployed L2 protocols, discuss ongoing ecosystem discussions regarding deprecation of opt-in RBF and implementation of full RBF, establish a general status quo and ad hoc security incident response policy in the case of cross-layer security issues, and establish a general status quo on L2 security philosophy design. L2 protocol designers should seek to minimize assumptions on the base layer.

Updated on: 2023-06-03T04:30:49.517644+00:00