Cap the Gap: Solving the Egoistic Dilemma under the Transaction Fee-Incentive Bitcoin

TL;DR

This paper examines the shift in Bitcoin's incentive structure from subsidies to transaction fees, analyzing its implications for miner behavior and network security.

Contribution

It introduces a novel approach to addressing the egoistic dilemma in Bitcoin's fee-based incentive model, proposing solutions to ensure network stability.

Findings

Transaction fee incentives influence miner strategies.

The proposed method enhances network security under fee-based incentives.

Insights into the transition impact on Bitcoin's economic model.

Abstract

Bitcoin has witnessed a prevailing transition that employing transaction fees paid by users rather than subsidy assigned by the system as the main incentive for mining.