Homework on Mempool - Questions

Blockchain and Bitcoin 101
#4072

  1. What is the mempool? The mempool is a ‘waiting area’ for bitcoin transactions. Each full node on the network contains a location where unconfirmed transactions are held. When a wallet broadcasts a signed transaction onto the network, the closest node will pick it up and re-broadcast it to other nodes. This is how all unconfirmed transactions are handled. Later, a bitcoin miner will pick up the contents of a nodes mempool and start processing the transactions and including them in the next block.

  2. What happens if the miners can’t keep up with the rate of new transactions? Once the mempool becomes full, the nodes will prioritize transactions using a transaction fee threshold. If a transaction has an attached fee that is below the threshold, it will be removed from the mempool. (I think in that case, your money will be returned to your wallet and your transaction is canceled. I don’t know that for sure.) Then, only transactions with a large enough fee will be allowed into the mempool where it will be processed by a miner.

  3. How does a growing mempool affect transaction fees? A growing mempool signals that more activity is taking place in the bitcoin space. (It could be a huge sell-off, new institutions coming into the space, or maybe Michael Saylor is making another big buy…) Either way, many transactions waiting for confirmation onto the blockchain implies that there is more competition between wallets for miners to process their transactions. Since miners are incentivized through fees to process unconfirmed transactions waiting in the mempool, the fees themselves are likely to go up.

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#4073
  1. What is the mempool?

A mempool is a data structure for nodes that contains a list of unconfirmed transactions.

  1. What happens if the miners can’t keep up with the rate of the new transaction?

Then they pick the transactions with the highest rate of satoshi’s/Byte because they’ll make more money. The rest of the transactions will stay in the mempool untill it is their turn depending on the hight of the fees. The higher that fee is the faster there transaction will take place. After that if they are being confirmed and put into the next block they will be removed from the mempool.

  1. How does a growing mempool effect transaction fees?

If the mempool grows the transaction fees will rise.

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#4074
  1. What is the mempool?

List of unconfirmed TX, at nodes

  1. What happens if the miners can’t keep up with the rate of the new transaction?

Mempool keeps adding new transactions to it’s list, at a rater faster then they get completed resulting in the list growing longer.

  1. How does a growing mempool effect transaction fees?

The larger the mempool the longer transactions will take before completing, since miners get your fees they will always go for the highest fees. At times of congestion it’s better to use a higher fee for faster transactions

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#4075

Mempool is like a waiting room and those unconfirmed transactions wait in mempool to get picked by miners to be added to the next block, So if miners cant keep up with the rate of the new transaction, then the mempool will grow larger in size and if there is growing in size that means there is growing of unconfirmed transactions and this leads to the competition to get the transaction to the next block which then leads rising in the fee.

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#4076

  1. Mempool is all the unconfirmed transactions on the network at a given time

  2. The mempool size increases.

  3. Fees would be bid up by people seeking to have their transaction processed faster.

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#4077
  1. Valid but unconfirmed transactions held by a node.
  2. Transactions will be stuck in the mem pool until their fees take priority.
  3. People will be incentivized to pay more in fees in order to have their transactions added to a block and not be stuck in the mempool.
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#4078
  1. What is the mempool?

That is the space where the node places a verified transaction so the miner can pick up that transaction , in order to confirm it to create a block which will then be added into the blockchain.

  1. What happens if the miners can’t keep up with the rate of the new transaction?
    The miner is incentived to build a block. So it will pick up the transaction with the highest fee first. The rest will remain in the mempool untill they are ready to be confirmed, then added in a block that will then be added in the blockchain.

  2. How does a growing mempool effect transaction fees?

It takes 10 minutes to create a new block and the transaction are calculated per sat/bit. The simpler the transaction the lesser space it takes in the harddrive and ultimately the more of such transactions can be added in a block. Thus the cheaper these transaction will be when compared to a UTXO which has many inputs and many outputs too. So the higher fees you pay the higher are your chances that your transaction will be picked up by the miner to be added in a block and then into the blockchain.

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#4079
  1. A pool of UTXO’s.
  2. The tx remains in a mempool.
  3. Tx fees increase as miners have more tx’s to choose from and will naturally select those that pay the highest fees.
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#4080

  1. Mempool is a data structure that each node (computer) has. It holds and stores a list of unconfirmed transactions.

  2. A backlog occurs, where the unconfirmed transactions are stored in different mempools until they are ready to be confirmed.

  3. A growing backlog of mempools will cause Miners to often pick unconfirmed transactions from mempools with the highest fees and put as many of them as they can in the block since there is a financial incentive for them to do so. This causes fees to increase.

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#4081
  1. Stores unconfirmed transactions.
  2. Mempool grow, resulting a higher fees.
  3. Fee rises.
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#4082
  1. Mempool is a list of all unconfirmed TXs.
  2. There will be a backlog of unconfirmed/invalidated TXs.
  3. Increase in cancelled TX, increase in TX fees, TX time increases.
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#4083

  1. A mempool is the amount of unverified transactions that miners still haven’t accepted to the Blockchain. It can also contain transactions that was reversed from Stale Blocks.

  2. When miners can’t keep up with the rates of the transactions, the mempool grows in size and more transactions are waited to be verified.

  3. The transaction fees increases

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#4084
  1. Meme pool is a list of awaiting transaction
  2. Transaction fees will increase
  3. The higher the transaction fees, the better the chances of the transaction to be picked up by the miners
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#4085

  1. The Mempool is where unconfirmed transactions are stored on a node.

  2. People would have to wait longer or increase their transaction fee if they want to get included on the blockchain faster.

  3. Assuming that the number of miners/nodes doesn’t change, people would have to place higher fees to get included on the blockchain. This is because there would be more transactions waiting to get included in the next block, but the amount of space a block can contain in terms of bytes is always the same.

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#4086

  1. What is the mempool?
    The mempool is a place where unconfirmed transactions wait for a miner to pick them up to add to the next block.

  2. What happens if the miners can’t keep up with the rate of the new transaction?
    If the miners can’t keep up with the rate then the mempool grows larger and there are longer transaction times.

  3. How does a growing mempool effect transaction fees?
    Transaction fees increase with a larger mempool because of the competition to get the transaction to the next block. Larger fees are offered to miners to get the transaction picked first.

2 Likes
#4087

  1. A data-structure that all nodes have their own local copy of that may be different versions of because TX do not get sent to every node at the same time. It is a list of validated, but not yet confirmed, TX that decreases in size every ten minutes due to the rate of blocks being made.

  2. The mempool slowly increases in size, and TX fees would increase from demand.

  3. People would be more incentivized to attach larger fees on their TX so miners will want to create those specific blocks.

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#4088

  1. A pool (database) of all unconfirmed transactions that nodes hold

  2. things slow down and miners prioritize the transactions with the highest fees. (greatest profits)

  3. fees get higher in order for transactions to be done in average/quick time otherwise transactions will take a while till the Mempool declines/gets lower again.

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#4089
  1. The mempool is a “pool” of unconfirmed transactions.
  2. The mempool grows larger and transaction times take longer.
  3. A growing mempool increases the competition for a transaction thus higher transaction fees to insure a transaction is completed by the miner.
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#4090

  1. The mempool is a node’s list of unconfirmed transactions.

  2. If a miner cannot keep up with the rate of new transactions, it will select transactions offering the highest fees to be included into its block.

  3. Growing a mempool will lead to higher fees as senders will offer to pay higher fees to make sure their transactions get confirmed in a reasonable amount of time.

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#4091
  1. What is the mempool?

Mempool is a list of unconfirmed transactions on a node, it forwards these to other nodes until miner nodes receive them, the miners will select from the mempools the transactions offering the highest fees and attempts to add as many as possible to the next block.

  1. What happens if the miners can’t keep up with the rate of the new transaction?

They will not be able to confirm the transactions they are attempting to.

  1. How does a growing mempool effect transaction fees?

The more transactions in the mempool the more options miners will have, so they will be able to be more selective of transactions with higher fees.

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