David A. Harding [ARCHIVE] on Nostr: 📅 Original date posted:2022-11-11 📝 Original message:On 2022-11-07 11:17, Peter ...

📅 Original date posted:2022-11-11
📝 Original message:On 2022-11-07 11:17, Peter Todd via bitcoin-dev wrote:
> We can ensure with high probability that the transaction can be
> cancelled/mined
> at some point after N blocks by pre-signing a transaction, with
> nLockTime set
> sufficiently far into the future, spending one or more inputs of the
> transaction with a sufficiently high fee that it would replace
> transaction(s)
> attempting to exploit Rule #3 pinning (note how the package limits in
> Bitcoin
> Core help here).

This implies a floor on the funds involved in a contract. For example,
if the pinning transaction is 100,000 vbytes at a feerate of 1 sat/vb,
the minimum contract amount must be a bit over 100,000 sats (about $17
USD at current prices). However, participants in a contract not meant
to settle immediately probably need to assume the worst case future
pinning, for example where transactions paying even 100 sat/vb won't be
mined promptly; in which case the minimum contract amount becomes
something like $1,700 USD.

That seems sub-optimal to me.

-Dave