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From: Tao Effect <contact@taoeffect.com>
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Date: Mon, 8 Feb 2016 14:24:01 -0800
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Subject: Re: [bitcoin-dev] On Hardforks in the Context of SegWit
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Hard forks should always come in response to some major crisis that all =
participants can agree is an actual crisis, as per the excellent =
rational here:

=
http://bitledger.info/why-a-hard-fork-should-be-fought-and-its-not-evil-to=
-discuss/

And here:

http://bitledger.info/hard-fork-risks-and-why-95-should-be-the-standard/

Also, if you=E2=80=99re going to do a hard fork, you=E2=80=99d better =
make the most of it as hard forks must be a *rare* =
world-is-ending-if-we-don=E2=80=99t-do-it thing (otherwise Bitcoin =
cannot be considered decentralized in any sense of the word).

So for any sort of hard fork, be sure to address the real threats and =
challenges that are facing Bitcoin today:

1. Mining centralization.
2. Privacy.

Best regards,
Greg Slepak

> On Feb 8, 2016, at 12:37 PM, jl2012--- via bitcoin-dev =
<bitcoin-dev@lists.linuxfoundation.org> wrote:
>=20
> Thanks for this proposal. Just some quick response:
>=20
> 1. The segwit hardfork (BIP HF) could be deployed with BIP141 (segwit
> softfork). BIP141 doesn't need grace period. BIP HF will have around 1 =
year
> of grace period.
>=20
> 2. Threshold is 95%. Using 4 versoin bits: a) BIP 141; b) BIP HF; c) =
BIP 141
> if BIP HF has already got 95%; d) BIP HF if BIP141 has already got =
95%.
> Voting a and c (or b and d) at the same time is invalid. BIP 141 is
> activated if a>95% or (a+c>95% and b+d>95%). BIP HF is activated if =
b>95% or
> (a+c>95% and b+d>95%).
>=20
> 3. Fix time warp attack: this may break some SPV implementation
>=20
> 4. Limiting non-segwit inputs may make some existing signed tx =
invalid. My
> proposal is: a) count the number of non-segwit sigop in a tx, =
including
> those in unexecuted branch (sigop); b) measure the tx size without =
scripgSig
> (size); c) a new rule is SUM(sigop*size) < some_value . This allows
> calculation without actually running the script.
>=20
>=20
> -----Original Message-----
> From: bitcoin-dev-bounces@lists.linuxfoundation.org
> [mailto:bitcoin-dev-bounces@lists.linuxfoundation.org] On Behalf Of =
Matt
> Corallo via bitcoin-dev
> Sent: Tuesday, 9 February, 2016 03:27
> To: Bitcoin Dev <bitcoin-dev@lists.linuxfoundation.org>
> Subject: [bitcoin-dev] On Hardforks in the Context of SegWit
>=20
> Hi all,
>=20
> I believe we, today, have a unique opportunity to begin to close the =
book on
> the short-term scaling debate.
>=20
> First a little background. The scaling debate that has been gripping =
the
> Bitcoin community for the past half year has taken an interesting turn =
in
> 2016. Until recently, there have been two distinct camps - one =
proposing a
> significant change to the consensus-enforced block size limit to allow =
for
> more on-blockchain transactions and the other opposing such a change,
> suggesting instead that scaling be obtained by adding more flexible =
systems
> on top of the blockchain. At this point, however, the entire Bitcoin
> community seems to have unified around a single vision - roughly 2MB =
of
> transactions per block, whether via Segregated Witness or via a hard =
fork,
> is something that can be both technically supported and which adds =
more
> headroom before second-layer technologies must be in place. =
Additionally, it
> seems that the vast majority of the community agrees that segregated =
witness
> should be implemented in the near future and that hard forks will be a
> necessity at some point, and I don't believe it should be =
controversial
> that, as we have never done a hard fork before, gaining experience by
> working towards a hard fork now is a good idea.
>=20
> With the apparent agreement in the community, it is incredibly =
disheartening
> that there is still so much strife, creating a toxic environment in =
which
> developers are not able to work, companies are worried about their =
future
> ability to easily move Bitcoins, and investors are losing confidence. =
The
> way I see it, this broad unification of visions across all parts of =
the
> community places the burden of selecting the most technically-sound =
way to
> achieve that vision squarely on the development community.
>=20
> Sadly, the strife is furthered by the huge risks involved in a hard =
fork in
> the presence of strife, creating a toxic cycle which prevents a safe =
hard
> fork. While there has been talk of doing an "emergency hardfork" as an
> option, and while I do believe this is possible, it is not something =
that
> will be easy, especially for something as controversial as rising =
fees.
> Given that we have never done a hard fork before, being very careful =
and
> deliberate in doing so is critical, and the technical community =
working
> together to plan for all of the things that might go wrong is key to =
not
> destroying significant value.
>=20
> As such, I'd like to ask everyone involved to take this opportunity to
> "reset", forgive past aggressions, and return the technical debates to
> technical forums (ie here, IRC, etc).
>=20
> As what a hard fork should look like in the context of segwit has =
never
> (!) been discussed in any serious sense, I'd like to kick off such a
> discussion with a (somewhat) specific proposal.
>=20
> First some design notes:
> * I think a key design feature should be taking this opportunity to =
add
> small increases in decentralization pressure, where possible.
> * Due to the several non-linear validation time issues in transaction
> validation which are fixed by SegWit's signature-hashing changes, I =
strongly
> believe any hard fork proposal which changes the block size should =
rely on
> SegWit's existence.
> * As with any hard fork proposal, its easy to end up pulling in =
hundreds of
> small fixes for any number of protocol annoyances. In order to avoid =
doing
> this, we should try hard to stick with a few simple changes.
>=20
> Here is a proposed outline (to activate only after SegWit and with the
> currently-proposed version of SegWit):
>=20
> 1) The segregated witness discount is changed from 75% to 50%. The =
block
> size limit (ie transactions + witness/2) is set to 1.5MB. This gives a
> maximum block size of 3MB and a "network-upgraded" block size of =
roughly
> 2.1MB. This still significantly discounts script data which is kept =
out of
> the UTXO set, while keeping the maximum-sized block limited.
>=20
> 2) In order to prevent significant blowups in the cost to validate
> pessimistic blocks, we must place additional limits on the size of =
many
> non-segwit transactions. scriptPubKeys are now limited to 100 bytes in =
size
> and may not contain OP_CODESEPARATOR, scriptSigs must be push-only (ie =
no
> non-push opcodes), and transactions are only allowed to contain up to =
20
> non-segwit inputs. Together these limits limit total-bytes-hashed in =
block
> validation to under 200MB without any possibility of making existing =
outputs
> unspendable and without adding additional per-block limits which make
> transaction-selection-for-mining difficult in the face of attacks or
> non-standard transactions. Though 200MB of hashing (roughly 2 seconds =
of
> hash-time on my high-end
> workstation) is pretty strongly centralizing, limiting transactions to =
fewer
> than 20 inputs seems arbitrarily low.
>=20
> Along similar lines, we may wish to switch MAX_BLOCK_SIGOPS from
> 1-per-50-bytes across the entire block to a per-transaction limit =
which is
> slightly looser (though not too much looser - even with libsecp256k1
> 1-per-50-bytes represents 2 seconds of single-threaded validation in =
just
> sigops on my high-end workstation).
>=20
> 3) Move SegWit's generic commitments from an OP_RETURN output to a =
second
> branch in the merkle tree. Depending on the timeline this may be =
something
> to skip - once there is tooling for dealing with the extra OP_RETURN =
output
> as a generic commitment, the small efficiency gain for applications =
checking
> the witness of only one transaction or checking a non-segwit =
commitment may
> not be worth it.
>=20
> 4) Instead of requiring the first four bytes of the previous block =
hash
> field be 0s, we allow them to contain any value. This allows Bitcoin =
mining
> hardware to reduce the required logic, making it easier to produce
> competitive hardware [1].
>=20
> I'll deliberately leave discussion of activation method out of this
> proposal. Both jl2012 and Luke-Jr recently begun some discussions =
about
> methods for activation on this list, and I'd love to see those =
continue.
> If folks think a hard fork should go ahead without SPV clients having =
a say,
> we could table #4, or activate #4 a year or two after 1-3 activate.
>=20
>=20
> [1] Simpler here may not be entirely true. There is potential for
> optimization if you brute force the SHA256 midstate, but if nothing =
else,
> this will prevent there being a strong incentive to use the version =
field as
> nonce space. This may need more investigation, as we may wish to just =
set
> the minimum difficulty higher so that we can add more than 4 =
nonce-bytes.
>=20
>=20
>=20
>=20
> Obviously we cannot reasonably move forward with a hard fork as long =
as the
> contention in the community continues. Still, I'm confident continuing =
to
> work towards SegWit as a 2MB-ish soft-fork in the short term with some =
plans
> on what a hard fork should look like if we can form broad consensus =
can go a
> long way to resolving much of the contention we've seen.
> _______________________________________________
> bitcoin-dev mailing list
> bitcoin-dev@lists.linuxfoundation.org
> https://lists.linuxfoundation.org/mailman/listinfo/bitcoin-dev
>=20
> _______________________________________________
> bitcoin-dev mailing list
> bitcoin-dev@lists.linuxfoundation.org
> https://lists.linuxfoundation.org/mailman/listinfo/bitcoin-dev


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