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Thoughts on scaling and consensus changes (2023)

Thoughts on scaling and consensus changes (2023)

Posted on: September 2, 2023 14:34 UTC

The discussion revolves around the enhancement of Bitcoin's scalability and efficiency through the utilization of Congestion Control Transactions (CTV) and the development of the coinpool concept.

CTV is acknowledged for its potential in offering a concise method to exit Bitcoin banks, highlighting its utility in the broader context of Bitcoin's transactional infrastructure. However, the utility of CTV alone is deemed insufficient for making the coinpool—a proposed mechanism for congestion control—truly effective. The challenge lies in the additional transaction required when moving value from one address to another within a coinpool, which incurs extra block space cost.

To address this limitation and enhance the functionality of coinpools, two primary strategies are suggested. The first strategy involves adopting Anyprevout (APO), which facilitates internal payments within a coinpool while managing its complexity. This approach aims at streamlining transactions within the coinpool, thereby reducing the need for external transactions that consume additional block space. The second strategy focuses on the creation of committed addresses intentionally designed for specific functionalities, such as swap in potentiam. These special addresses enable trustless sharing with Lightning Service Providers (LSPs), potentially minimizing the necessity for users to perform transactions to move their assets outside the coinpool.

Further exploration of these concepts and their implications for Bitcoin's transactional ecosystem is provided in a detailed post. However, it is noted that the post is written in Chinese and can be accessed at this GitHub link. This contribution forms part of ongoing discussions aimed at refining Bitcoin's operational capabilities, specifically in terms of transaction efficiency and scalability.