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Combined summary - Libre Relay v27.1 released with lower 1.25x replacement threshold

Combined summary - Libre Relay v27.1 released with lower 1.25x replacement threshold

In a recent incident involving a Lightning Network (LN) node, a transaction was successfully resolved through the use of Replace-By-Fee-Rate (RBFR), showcasing its effectiveness in real-world applications.

A transaction was created that spent three anchor outputs at a fee rate of 13.1sat/vB, which had been previously pinned by another transaction with a lower fee rate of 5.37sat/vB. Despite the lower total fee, F2Pool prioritized and mined the RBFR replacement due to its higher fee rate, demonstrating the inefficiency of low fee rates in the current mining environment. This occurrence also highlighted the limited propagation of the original transaction across non-RBFR nodes, underscoring the utility of RBFR nodes in facilitating transaction confirmation despite lower overall fees.

The developer behind these observations has introduced significant updates to the Libre Relay project, specifically adjusting the replace-by-fee-rate threshold to 1.25x from the previous 2x. This adjustment aims to reduce the cost associated with overcoming transaction pinning while increasing the cost for those attempting it, essentially making it more likely for a pinned transaction to itself get mined if it attempts to exploit the system. This development encourages further scrutiny and testing against potential denial-of-service (DoS) attacks, which could underscore or refute the perceived vulnerabilities within the RBFR proposal. Critics are invited to demonstrate any substantial flaws, especially those that could outperform existing relay attacks without RBFR.

Moreover, this enhancement in the RBFR mechanism has shown its practical benefits, particularly for LN node operations. Instances were cited where transactions that would typically fail due to higher absolute fees were eventually confirmed through propagation by Libre Relay nodes, with F2Pool playing a pivotal role in mining these transactions. This outcome suggests that running Libre Relay could be advantageous for Lightning node operators to mitigate pinning vulnerabilities inherent in the Lightning protocol. The adjustments and real-world implications reflect ongoing efforts to enhance transaction efficiency and security within the Bitcoin network, highlighting the potential of RBFR in addressing complex transactional challenges.

Discussion History

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Peter ToddOriginal Post
June 20, 2024 16:33 UTC
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June 20, 2024 22:33 UTC
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June 22, 2024 14:29 UTC