Homework on Mempool - Questions

Blockchain and Bitcoin 101
#1627

  1. mempool is a record of unconfirmed TXs on a node

  2. the BTC network slows down, as more transactions remain in unconfirmed state, the miner will then pick the transactions with the highest TX fees and process them first

  3. growing mempool means that there are more TXs awaiting processing; as TXs are priced in satoshis per byte, more bytes = higher fees

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#1628
  1. Mempool consists of unconfirmed transactions that are approved(do not break protocol rules) by local nodes but have not yet been confirmed by miners for the blockchain.
  2. Mempools build up creating Tx backlogs.
  3. Transaction fees go up because there is competition to have the miners choose higher value Txs. High value does not necessarily mean large dollar amount in the Tx, but the Tx with the highest fees involved.
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#1629

The sum of them? As in combined value? :thinking:

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#1630
  1. What is the mempool?
  • Unconfirmed transactions are stored in mempool. Miners would pick transactions mostly based on the transaction-fee they are paying.
  1. What happens if the miners can’t keep up with the rate of the new transaction?
  • The backlog will grow larger, transaction-time would increase.
  1. How does a growing mempool effect transaction fees?
  • It’ll drive up fees since people would increase them to get their transactions confirmed.
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#1631

Got it, thank you! So a growing mempool just affects fees because a backlog builds up?

#1632

  1. Mempool is a database structure of unconfirmed transactions that all Nobes have.

  2. The mempool will get bigger and the tx fees will increase,

  3. As Miners are financially incentivised, they are always looking for the highest fees, therefore if the mempool gets bigger, the tx with higher fees will be verified and included in a block and then appended in the blockchain in a faster speed… while the low fee tx will be left in the mempool longer.

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#1633

not as combined value of course . the mempool is all the unconfirmed transactions

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#1634

Exactly :slight_smile:

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#1635

  1. The mempool is the list of all unconfirmed transactions that each nodes receive before is is put in a block.

  2. He will take the transaction with the highest fees to make more profit.

3.In the case of a growing mempool, you are incentivised to pay a higher fee if you want it to be done rapidly, because low transaction fee will be way back on the list for minors to choose from to put in a block.

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#1636
  1. The mempool is basically a list of unconfirmed transactions waiting to be picked up by a miner for inclusion in next block.
  2. If the number of new transactions increase significantly then the network can get overloaded with longer lists making confirmations longer.
  3. Growing mempool will lead to increased transaction fees.
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#1637

  1. A data structure containing unconfirmed transactions.

  2. The number of unconfirmed transactions in the mempool will increase.

  3. A congested mempool will likely result in higher transaction (tx) fees. In order to complete a transaction more quickly in such a scenario users will likely be willing to pay higher fees. Miners being financially incentivised will likely be willing to prioritise more profitable transactions.

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#1638

  1. What is the mempool?
    A mempool has all the unconfirmed transactions that have to be picked by miners an put into blocks.

  2. What happens if the miners can’t keep up with the rate of the new transaction?
    When miners cannot keep up with the rate of the new transaction they start to choose the transactions that pay a bigger fee.

  3. How does a growing mempool effect transaction fees?
    The bigger is the mempool, the bigger are the fees.

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#1639

Homework on Mempool - Questions

  1. What is the mempool?
    A mempool is a data structure or list of compliant unconfirmed transactions that each node has or will eventually receive.

  2. What happens if the miners can’t keep up with the rate of the new transaction?
    The transactions will remain in the unconfirmed state longer and will not be added to a block in the blockchain.

  3. How does a growing mempool effect transaction fees?
    A miner will pick the transaction with the highest fee. So you can pay a high fee to increase the chance that your transaction will be quickly added to the next block. Also, as the mempool grows due to complex transactions the fees will increase for such transactions because complex transactions take up more space so the miners will charge a higher fee to compensate themselves for the space taken.

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#1640

[quote=“ivan, post:1, topic:8438, full:true”]
Homework on Mempool - Questions

  1. What is the mempool?
    Its a staging area for transactions that have been verified by a node and are waiting in the mempool waiting to be picked up by a miner and be inserted into a block
  2. What happens if the miners can’t keep up with the rate of the new transaction?
    they set a minimal transaction fee threshold.
  3. How does a growing mempool effect transaction fees?
    fee get more expensive
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#1641

  1. Mempool is the place where UNCONFIRMED TRANSACTION ARE STORED

  2. Mempool can be larger and this can bring higher fees and longer transaction confirmation times

  3. The MINERS INCENTIVES , because miners are looking always for high fee transaction in their mempool

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#1642
  1. Mempool is a log of unconfirmed transactions.
  2. Mempool grows and transaction time increases when network volume overwhelms mining.
  3. Growing Mempool increases transaction fees therefore removing lower fee transactions.
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#1643

1- stores unconfirmed transactions

2- it will be stored in mempool and confirmation of transactions will take longer.

3- growing mempool means increase in transaction fees

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#1644

I’m not sure this exists, maybe in some newer versions :thinking: but theoretically there is no threshold, so the mempool just grows :slight_smile:

Therefore transactions with low fees don’t get removed from the mempool (unless they have been replaced with a higher fee tx with the same inputs).
Newer bitcoin core software does have a limit to how many transactions and how long they will be waiting in the mempool. I think the default is 300MB and up to 14 days, after that the transaction is removed in the mempool if id doesn’t get into a block by that time. :slight_smile:

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#1645

  1. What is the mempool?
    Each node has a mempool, a place where the unconfirmed but verified transactions are
    stored.

  2. What happens if the miners can’t keep up with the rate of the new transaction?
    The mempool will grow, and it takes longer until new transactions are confirmed and
    consequently a new block is created

  3. How does a growing mempool effect transaction fees?
    Since miners are interested in maximizing their return they process the transactions with
    higher fees first. This means you must pay a higher fee order to get your transaction through,
    which leads to a general increase in fees.

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#1646
  1. Mempool are lists of uncomfirmed transactions store in every node.
  2. Mempool grows in size and transaction times might take longer.
  3. Miner will pick first the transactions with highest fees.
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