Abstract

This is our fifth look at the Bitcoin’s OP_Return policy limit drama. This time we look at some of the game theory involved and attempt to explain some of the recent tension in the discussion. Having a more relaxed OP_Return limit may be beneficial or neutral to individual node operators, who choose to run the looser policy, in all scenarios, with Compact Blocks and the caching of transaction validity checks working more effectively. However, proponents of filters argue that a stricter OP_Return limit may benefit the wider ecosystem. This creates an inherent conflict between deterring “spam” and individual user sovereignty, with proponents of filters asking other node runners to potentially degrade the performance of their own nodes, at their own expense, to apparently benefit the wider ecosystem.

Overview

BitMEX Research is at it again, our fifth piece on the OP_Return relay policy drama.

• The OP_Return Wars of 2014 – Dapps Vs Bitcoin Transactions
• Removing Bitcoin’s Guardrails
• Unstoppable JPGs In Private Keys
• Ordinals – Impact On Node Runners

In this piece, we look at some of the different perspectives and why people see the situation differently. One key area of disagreement appears to be whether one runs a node purely for their own benefit or altruistically, to try and benefit the network. One can look at this problem as “One For All” or “One For Me”.

...read more at bitmex.com