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bitcoin-bips/bip-tx-ver2.mediawiki
2015-12-02 14:44:26 -08:00

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<pre>
BIP: (no number)
Title: Transaction Version 2 Specification (wildcard inputs)
Author: Chris Priest <cp368202@ohiou.edu>
Status: Draft
Type: Standards Track
Created: 2015-11-30
</pre>
==Abstract==
This specification defines a new type of transaction that supplements (not replaces)
version 1 transactions.
==Motivation==
Version 1 Bitcoin Transactions have one large inefficiency: When you want to spend
from multiple inputs with the exact same scriptPubKey, you have to list each
input separately, along with the same signature multiple times.
This bloats the transaction size and makes it expensive to spend from small value inputs.
Because small value inputs are expensive to send, they remain in the UTXO pool
which full nodes have to keep around. It is believed that long term increase of the UTXO
set can have negative scaling consequences on the network.
If maximum blocksize is made to increase *slower* than the actual number of transactions bitcoin users are sending
to the network, this problem is projected to get worse. In other words, as transaction
fees increase, the minimum economical value of a spending a UTXO will increase.
==Specification==
A version 2 transaction is formulated the exact same way as a version 1 transaction
with one exception: each input is treated as a "wildcard input".
A wildcard input beings the value of all inputs with the exact same scriptPubKey
in a block lower or equal to the block the wildcard input is confirmed into.
== Changes needed to implement ==
The bitcoin code needs to be modified in three places in order to handle Version 2 Transactions.
1. **Full Node V2 validation** - When a full node receives a V2 transaction, it has to
aggregate the value of all the UTXOs in the blockchain older than the input
with the same scriptPubKey. If this value is greater than or equal to the
amount of all outputs, then that V2 transaction is valid and can be propagated.
2. **Full Node V1 validation** - When a V1 transaction comes in, the code needs to be modified
to check if each inut has not been spent by a V2 transaction. If there exist any
V2 transaction in the blockchain with the same scriptPubKey *after* that input,
then the UTXO has been spent and the transaction is invalid.
3. **Wallet** - The user facing wallet portion of the reference client should notify
the user when their wallet contains many UTXOs that qualify it to benefit from
a V2 transaction. Wallets should not simply replace V1 transactions with V2 transactions.