How to Keep Bitcoins Safe What is an Altcoin? How to Get Bitcoins Is Bitcoin Facebook bitcoin wallet? Tested on the Chrome extension version of the wallet. When switched on, each transaction sent from the wallet includes a replace-by-fee flag.
This way, network nodes and miners know it’s eligible to be replaced by a conflicting transaction that includes a higher fee. On top of the menu, text displays how fast the transaction is expected to confirm. In my case, it was expected to be included in the next block. Nevertheless, the menu allowed me to bump the fee: times 1. 5, times 2 or times 3. In that case, the mini-menu offers users the option to include a fee big enough to have the transaction included in the next two, three or six blocks.
I could bump the fee once again. All in all a very straightforward and easy-to-use process. Wallet software in itself is not sufficient to replace transactions. Whether replace-by-fee is active on the Bitcoin network really depends on miners.
A series of test transactions revealed that a majority of miners currently does not apply any replace-by-fee policy. Other pools did apply a replace-by-fee policy, presumably the opt-in version. Of course, with only 20 percent of hash power applying a replace-by-fee policy, there’s only a 20 percent chance the very next miner will pick up the boosted transaction. But there is also about a 3-out-of-4 chance that the boosted transaction will be included in a block within one hour. And it will almost certainly be included in a block within several hours. 20 percent chance this will succeed.
Users maliciously reverting unconfirmed transactions bring us to the next point. To counter these risks, wallet software can warn users on the receiving end of a transaction if a transaction is flagged to potentially be replaced. Both wallets clearly visualize a replace-by-fee enabled transaction as such, giving users the option not to accept such a transaction until confirmed if they wish. Interestingly, Bitcoin Core doesn’t flag for incoming opt-in replace-by-fee transactions, and as such Bitcoin Core forks Bitcoin Classic, Bitcoin XT and Bitcoin Unlimited don’t either. When asked why their software doesn’t flag for replace-by-fee transactions, both Bitcoin Core and Electrum developers explained that unconfirmed transactions shouldn’t be trusted either way, and a flagging system could give users a false sense of security. Editors note: Shortly before publication, Bitcoin Core developers pointed out that an RBF-notification might be added soon, after all. Bitcoin Wallet developer Andreas Schildbach told me adding a flagging system in the software would be tricky, and he believes this is the most responsible solution for now.
I just wanted to see how they’d handle the flag. Having paid for a pizza delivery through Bitcoin’s biggest payment processor, the order was immediately confirmed on-screen. As such, it didn’t feel like I was waiting too long for my transaction to come through. I also received a confirmation email. While it worked well for me, it did leave me wondering what would happen if the transaction had taken significantly longer to confirm.
Coinbase did not handle my first replace-by-fee transaction well: my payment for Reddit Gold, made several weeks ago, was not acknowledged at all. Not before it was included in a block, and not after it was included in a block. After seeing the payment request page time out twice, the order was eventually canceled. I had to email Reddit to get my gold. However, a second, more recent try suggests Coinbase has improved its service since: my Wikimedia donation was confirmed instantly. Moreover, a message popped up telling me they’d wait for a confirmation due to a low fee. Finally, I did a quick round to see how different block explorers handle opt-in replace-by-fee transactions.
The first block explorer I tested, Blocktrail, clearly visualizes replace-by-fee transactions. It was the only block explorer that not only flags a transaction when eligible for double-spends, it also warns users if a conflicting transaction is detected. And, once that conflicting transaction is included in a block, it’s made clear that the replaced transaction was double-spent, and won’t confirm. It’s only after a conflicting transaction is sent that Blockchain.
And, after a conflicting transaction is included in a block, Blockchain. Blockcypher does not visualize a replace-by-fee flag, but it does show a double-spend warning after a second transaction is sent. The conglomerate is now researching the possibility of bitcoin transactions through the wallet. Our research team is looking at it now. GK MPay is regulated by the BOJ, so we would need guidance from our regulator. We are actively monitoring the space,” he said. Wehby added that the team was examining both bitcoin and other cryptocurrencies.