bitcoin-dev
Anyone can boost - a more efficient alternative to anchor outputs
Posted on: March 19, 2024 09:47 UTC
The document shared by Peter Todd introduces a novel approach to enhance the efficiency of Bitcoin protocols, specifically addressing the limitations associated with anchor outputs and Child Pays for Parent (CPFP) methods in handling presigned transactions.
The traditional methods involve guessing future transaction fees or adding extra outputs, which not only increases transaction size but also potentially compromises privacy and pollutes the UTXO set. Todd proposes an alternative dubbed "anyone can boost," which aims to streamline the process without the aforementioned drawbacks.
"Anyone can boost" is designed to allow for the boosting of any transaction by including the Transaction ID (TXID) of the boosted transaction in the annex of a new, boosting transaction. A key characteristic of this proposal is that a boosting transaction would only be considered valid if the boosted transaction is confirmed in the same block. This mechanism seeks to address potential issues related to network spam and DoS attacks by leveraging multiple independent transactions to boost the same transaction, thereby distributing the required resources and making it cost-prohibitive for attackers.
One of the significant advantages highlighted is the potential for a more efficient fee boosting service. By enabling services to boost multiple transactions simultaneously, the cost per transaction could be significantly reduced. Such services would collect orders and combine boosts, further optimizing the process through techniques like Replace-by-Fee (RBF) to accommodate new orders. Although these services wouldn't be trustless, non-delivery could be proven, making the system reliable enough for practical use. This solution also simplifies the user experience, allowing individuals to easily boost transactions by just copying and pasting the TXID.
However, implementing "anyone can boost" would require a soft fork, which is acknowledged as a contentious and complex process. The interaction between transactions within the same block, necessitated by this proposal, is unconventional and requires careful consideration to ensure network integrity. Additionally, the proposal acknowledges a limitation related to taproot signatures, suggesting that entities engaging in presigned transactions prepare in advance to accommodate the new boosting method.
Another point of discussion is the impact on fee betting practices, where individuals bet on future transaction fees using multisig and presigned transactions with varying fees. The proposed system could potentially undermine such practices unless specific opt-in measures are implemented.
In conclusion, Todd's proposal presents a forward-thinking solution to existing inefficiencies in Bitcoin transaction processing. By reimagining how transactions can be boosted, it offers a path toward reduced costs, improved privacy, and enhanced user experience. Nonetheless, the proposal's success hinges on overcoming technical and community barriers, underscoring the need for continued dialogue and development within the Bitcoin ecosystem.