Scaling Noncustodial Mining Payouts with CTV

Nodes enforce strict rules regarding the maturity of coinbase outputs, specifically rejecting any attempt to spend these outputs before they reach a maturity of 100 blocks. As a result, transactions that attempt to spend immature coinbase outputs cannot be placed in the mempool during this period. This limitation prevents the mempool from offering advance data availability for such transactions, which restricts users’ ability to access or verify transaction details ahead of time.

Once the coinbase output becomes mature and thus spendable, the transaction can be broadcast and included in the mempool. However, until this point, users seeking to obtain information about the impending transaction must rely on alternative mechanisms. These might include data published by mining pools themselves or the use of external relay services that distribute transaction information ahead of formal mempool acceptance.

This restriction introduces a notable challenge concerning data availability. The reliance on external sources for transaction data prior to mempool eligibility underscores a more significant drawback than previously recognized, highlighting the need for robust solutions to ensure timely and reliable access to transaction information in these scenarios.