Return-Path: Received: from smtp3.osuosl.org (smtp3.osuosl.org [IPv6:2605:bc80:3010::136]) by lists.linuxfoundation.org (Postfix) with ESMTP id 66964C002D for ; Thu, 20 Oct 2022 21:07:23 +0000 (UTC) Received: from localhost (localhost [127.0.0.1]) by smtp3.osuosl.org (Postfix) with ESMTP id 390CF60D6F for ; Thu, 20 Oct 2022 21:07:23 +0000 (UTC) DKIM-Filter: OpenDKIM Filter v2.11.0 smtp3.osuosl.org 390CF60D6F Authentication-Results: smtp3.osuosl.org; dkim=pass (2048-bit key) header.d=gmail.com header.i=@gmail.com header.a=rsa-sha256 header.s=20210112 header.b=oeWgms1T X-Virus-Scanned: amavisd-new at osuosl.org X-Spam-Flag: NO X-Spam-Score: -1.848 X-Spam-Level: X-Spam-Status: No, score=-1.848 tagged_above=-999 required=5 tests=[BAYES_00=-1.9, DKIM_SIGNED=0.1, DKIM_VALID=-0.1, DKIM_VALID_AU=-0.1, DKIM_VALID_EF=-0.1, FREEMAIL_ENVFROM_END_DIGIT=0.25, FREEMAIL_FROM=0.001, HTML_MESSAGE=0.001, RCVD_IN_DNSWL_NONE=-0.0001, SPF_HELO_NONE=0.001, SPF_PASS=-0.001] autolearn=ham autolearn_force=no Received: from smtp3.osuosl.org ([127.0.0.1]) by localhost (smtp3.osuosl.org [127.0.0.1]) (amavisd-new, port 10024) with ESMTP id m1BkB7Rlp-M6 for ; Thu, 20 Oct 2022 21:07:21 +0000 (UTC) X-Greylist: whitelisted by SQLgrey-1.8.0 DKIM-Filter: OpenDKIM Filter v2.11.0 smtp3.osuosl.org 2081C60D6A Received: from mail-ed1-x52d.google.com (mail-ed1-x52d.google.com [IPv6:2a00:1450:4864:20::52d]) by smtp3.osuosl.org (Postfix) with ESMTPS id 2081C60D6A for ; Thu, 20 Oct 2022 21:07:21 +0000 (UTC) Received: by mail-ed1-x52d.google.com with SMTP id m15so1363996edb.13 for ; Thu, 20 Oct 2022 14:07:20 -0700 (PDT) DKIM-Signature: v=1; a=rsa-sha256; c=relaxed/relaxed; d=gmail.com; s=20210112; h=cc:to:subject:message-id:date:from:in-reply-to:references :mime-version:from:to:cc:subject:date:message-id:reply-to; bh=rRfgx7UyXP3GcOTz926/NfHOh5ajs5UwWdSRH7psFmA=; b=oeWgms1TaAao6W2LtTnXdjdSM8V9iHGLGxB21G8P9wX21h6IZ0VwS1182UjLmUCOqK E9eRoJ/jx422TC+ekKFcP8ZXr7K0tlg57128khQ8M0hJYYecnI1lvYk3naTOz2o5mu2t IhqHfcsFGdEOzEyW8srcJEotDe6+a8U1Ku7MUNtgVEQm02QkRob9pb1zIkbvA7kVtDlb Blda2Pwoeioer1MhyX7QhmmJOo37u0lc7g/fLX/cLkEc0ApjD7953kFbKRqf/c7aHEKc uvaU3nGYVwXqMVeXk7/3vEDxBjA1IoSD8KNlA2fATI4S4qYeV7cRDgvD+tsLdcxSKltH bsRQ== X-Google-DKIM-Signature: v=1; a=rsa-sha256; c=relaxed/relaxed; d=1e100.net; s=20210112; h=cc:to:subject:message-id:date:from:in-reply-to:references :mime-version:x-gm-message-state:from:to:cc:subject:date:message-id :reply-to; bh=rRfgx7UyXP3GcOTz926/NfHOh5ajs5UwWdSRH7psFmA=; b=sskiIDo/F146gr9bnyzKp4kPnqsFrqp5KsxwH0BlUaNHnFwWYU8az/wJebqQYQYd3m iSGvNF07K7f9O76Zmz3CVv3U3BnZHQRNZyB0meiEdYequ6D0vCL33eiROWrKNkyRI2ih BeI+IVvb8ybj1fZnmkiimXLiewvDdHO0WPrlg81tkEGmJTHawsHHham+R1iG4jHYqtuv KrK5kF/KmJ7C/w2Nl61gCc38E4DrbqXwJAIOGqziRAzd2v0DdO9IWZFtKUAdl3knWinw 3xb+utDOdTrcqC29Opfq6PoC+5Z/32VEUJBPLIke8DK2IJHYksYRGkbkVYSeM7lFYDfR HZWg== X-Gm-Message-State: ACrzQf3FUgd8DxrPp7LLaU0mLLPrd51VOA0Fm6WOuSwad4olOICvYWW4 qWrmn3kst8cS1XwZAH70Uo5Fx9LdoR5RiJ50QyU= X-Google-Smtp-Source: AMsMyM52HDXkTzF4g1FZ3q2izt9a/7gp1nApm53Ib8IscQzm/eE0FJX3ZhYuF7D6gCGOt+AOTi2v/5gprAtZgOwzB/w= X-Received: by 2002:a05:6402:370c:b0:453:9fab:1b53 with SMTP id ek12-20020a056402370c00b004539fab1b53mr14337885edb.28.1666300039063; Thu, 20 Oct 2022 14:07:19 -0700 (PDT) MIME-Version: 1.0 References: In-Reply-To: From: Greg Sanders Date: Thu, 20 Oct 2022 17:07:07 -0400 Message-ID: To: Anthony Towns , Bitcoin Protocol Discussion Content-Type: multipart/alternative; boundary="000000000000eaef2605eb7db5b0" Cc: Sergej Kotliar Subject: Re: [bitcoin-dev] [Opt-in full-RBF] Zero-conf apps in immediate danger X-BeenThere: bitcoin-dev@lists.linuxfoundation.org X-Mailman-Version: 2.1.15 Precedence: list List-Id: Bitcoin Protocol Discussion List-Unsubscribe: , List-Archive: List-Post: List-Help: List-Subscribe: , X-List-Received-Date: Thu, 20 Oct 2022 21:07:23 -0000 --000000000000eaef2605eb7db5b0 Content-Type: text/plain; charset="UTF-8" > If it were growing in line with lightning capacity in BTC, per bitcoinvisuals.com/ln-capacity; then 15% now would have grown from perhaps 4% in May 2021, so perhaps 8% per year. With linear growth, getting from 15% to 80% would then be about 8 years. I'd caution against any metrics-based approach like this, unless it's simply used for ballparking potential adoption curves to set a a timeframe people can live with. A large number of coins/users sit on custodial rails and this would essentially encumber protocol developers to those KYC/AML institutions. If Binance decides to never support Lightning in favor of BNC-wrapped BTC, should this be an issue at all for reasoning about a path forward? Hoping to be wrong, Greg On Thu, Oct 20, 2022 at 3:59 PM Anthony Towns via bitcoin-dev < bitcoin-dev@lists.linuxfoundation.org> wrote: > On Thu, Oct 20, 2022 at 02:37:53PM +0200, Sergej Kotliar via bitcoin-dev > wrote: > > > If someone's going to systematically exploit your store via this > > > mechanism, it seems like they'd just find a single wallet with a good > > > UX for opt-in RBF and lowballing fees, and go to town -- not something > > > where opt-in rbf vs fullrbf policies make any difference at all? > > Sort of. But yes once this starts being abused systemically we will have > to > > do something else w RBF payments, such as crediting the amount in BTC to > a > > custodial account. But this option isn't available to your normal payment > > processor type business. > > So, what I'm hearing is: > > * lightning works great, but is still pretty small > * zeroconf works great for txs that opt-out of RBF > * opt-in RBF is a pain for two reasons: > - people don't like that it's not treated as zeroconf > - the risk of fiat/BTC exchange rate changes between > now and when the tx actually confirms is worrying > even if it hasn't caused real problems yet > > (Please correct me if that's too far wrong) > > Maybe it would be productive to explore this opt-in RBF part a bit > more? ie, see if "we" can come up with better answers to some question > along the lines of: > > "how can we make on-chain payments for goods priced in fiat work well > for payees that opt-in to RBF?" > > That seems like the sort of thing that's better solved by a collaboration > between wallet devs and merchant devs (and protocol devs?), rather than > just one or the other? > > Is that something that we could talk about here? Or maybe it's better > done via an optech workgroup or something? > > If "we'll credit your account in BTC, then work out the USD coversion > and deduct that for your purchase, then you can do whatever you like > with any remaining BTC from your on-chain payment" is the idea, maybe we > should just roll with that design, but make it more decentralised: have > the initial payment setup a lightning channel between the customer and > the merchant with the BTC (so it's not custodial), but do some magic to > allow USD amounts to be transferred over it (Taro? something oracle based > so that both parties are confident a fair exchange rate will be used?). > > Maybe that particular idea is naive, but having an actual problem to > solve seems more constructive than just saying "we want rbf" "but we > want zeroconf" all the time? > > (Ideally the lightning channels above would be dual funded so they could > be used for routing more generally; but then dual funded channels are > one of the things that get broken by lack of full rbf) > > > > I thought the "normal" avenue for fooling non-RBF zeroconf was to > create > > > two conflicting txs in advance, one paying the merchant, one paying > > > yourself, connect to many peers, relay the one paying the merchant to > > > the merchant, and the other to everyone else. > > > I'm just basing this off Peter Todd's stuff from years ago: > > > > https://np.reddit.com/r/Bitcoin/comments/40ejy8/peter_todd_with_my_doublespendpy_tool_with/cytlhh0/ > > > > https://github.com/petertodd/replace-by-fee-tools/blob/master/doublespend.py > > Yeah, I know the list still rehashes a single incident from 10 years ago > to > > declare the entire practice as unsafe, and ignores real-world data that > of > > the last million transactions we had zero cases of this successfully > > abusing us. > > I mean, the avenue above isn't easy to exploit -- you have to identify > the merchant's node so that they get the bad tx, and you have to connect > to many peers so that your preferred tx propogates to miners first -- > and probably more importantly, it's relatively easy to detect -- if the > merchant has a few passive nodes that the attacker doesn't know about > it, and uses those to watch for attempted doublespends while it tries > to ensure the real tx has propogated widely. So it doesn't surprise me > at all that it's not often attempted, and even less often successful. > > > > > Currently Lightning is somewhere around 15% of our total bitcoin > > > > payments. > > > So, based on last year's numbers, presumably that makes your bitcoin > > > payments break down as something like: > > > 5% txs are on-chain and seem shady and are excluded from zeroconf > > > 15% txs are lightning > > > 20% txs are on-chain but signal rbf and are excluded from zeroconf > > > 60% txs are on-chain and seem fine for zeroconf > > Numbers are right. Shady is too strong a word, > > Heh, fair enough. > > So the above suggests 25% of payments already get a sub-par experience, > compared to what you'd like them to have (which sucks, but if you're > trying to reinvent both money and payments, maybe isn't surprising). And > going full rbf would bump that from 25% to 85%, which would be pretty > terrible. > > > RBF is a strictly worse UX as proven by anyone > > accepting bitcoin payments at scale. > > So let's make it better? Building bitcoin businesses on the lie that > unconfirmed txs are safe and won't be replaced is going to bite us > eventually; focussing on trying to push that back indefinitely is just > going to make everyone less prepared when it eventually happens. > > > > > For me > > > > personally it would be an easier discussion to have when Lightning > is at > > > > 80%+ of all bitcoin transactions. > > > Can you extrapolate from the numbers you've seen to estimate when that > > > might be, given current trends? > > Not sure, it might be exponential growth, and the next 60% of Lightning > > growth happen faster than the first 15%. Hard to tell. But we're likely > > talking years here.. > > Okay? Two years is very different from 50 years, and at the moment there's > not really any data, so people are just going to go with their gut... > > If it were growing in line with lightning capacity in BTC, per > bitcoinvisuals.com/ln-capacity; then 15% now would have grown from > perhaps 4% in May 2021, so perhaps 8% per year. With linear growth, > getting from 15% to 80% would then be about 8 years. > > Presumably that's a laughably terrible model, of course. But if we had > some actual numbers where we can watch the progress, it might be a lot > easier to be patient about waiting for lightning adoption to hit 80% > or whatever, and focus on productive things in the meantime? > > Cheers, > aj > _______________________________________________ > bitcoin-dev mailing list > bitcoin-dev@lists.linuxfoundation.org > https://lists.linuxfoundation.org/mailman/listinfo/bitcoin-dev > --000000000000eaef2605eb7db5b0 Content-Type: text/html; charset="UTF-8" Content-Transfer-Encoding: quoted-printable
> If it were growing in line with lightning capacity in= BTC, per
bitcoinvisuals.com/ln-capacity; then 15% now w= ould have grown from
perhaps 4% in May 2021, so perhaps 8% per year. Wit= h linear growth,
getting from 15% to 80% would then be about 8 years.
I'd caution against any metrics-based approach like th= is, unless it's simply used for ballparking potential adoption curves t= o set a a timeframe people=C2=A0can live with.

A l= arge number of coins/users sit on custodial rails and this would essentiall= y encumber protocol developers to those KYC/AML institutions. If Binance de= cides to never support Lightning in favor of BNC-wrapped BTC, should this b= e an issue at all for reasoning about a path forward?

Hoping to be wrong,
Greg



On Thu, Oct 20, 2022 at 3:59 PM Anthony Towns via bitcoin-dev <bitcoin-dev@lists.linux= foundation.org> wrote:
On Thu, Oct 20, 2022 at 02:37:53PM +0200, Sergej Kotliar via = bitcoin-dev wrote:
> > If someone's going to systematically exploit your store via t= his
> > mechanism, it seems like they'd just find a single wallet wit= h a good
> > UX for opt-in RBF and lowballing fees, and go to town -- not some= thing
> > where opt-in rbf vs fullrbf policies make any difference at all?<= br> > Sort of. But yes once this starts being abused systemically we will ha= ve to
> do something else w RBF payments, such as crediting the amount in BTC = to a
> custodial account. But this option isn't available to your normal = payment
> processor type business.

So, what I'm hearing is:

=C2=A0* lightning works great, but is still pretty small
=C2=A0* zeroconf works great for txs that opt-out of RBF
=C2=A0* opt-in RBF is a pain for two reasons:
=C2=A0 =C2=A0 - people don't like that it's not treated as zeroconf=
=C2=A0 =C2=A0 - the risk of fiat/BTC exchange rate changes between
=C2=A0 =C2=A0 =C2=A0 now and when the tx actually confirms is worrying
=C2=A0 =C2=A0 =C2=A0 even if it hasn't caused real problems yet

(Please correct me if that's too far wrong)

Maybe it would be productive to explore this opt-in RBF part a bit
more? ie, see if "we" can come up with better answers to some que= stion
along the lines of:

=C2=A0"how can we make on-chain payments for goods priced in fiat work= well
=C2=A0 for payees that opt-in to RBF?"

That seems like the sort of thing that's better solved by a collaborati= on
between wallet devs and merchant devs (and protocol devs?), rather than
just one or the other?

Is that something that we could talk about here? Or maybe it's better done via an optech workgroup or something?

If "we'll credit your account in BTC, then work out the USD covers= ion
and deduct that for your purchase, then you can do whatever you like
with any remaining BTC from your on-chain payment" is the idea, maybe = we
should just roll with that design, but make it more decentralised: have
the initial payment setup a lightning channel between the customer and
the merchant with the BTC (so it's not custodial), but do some magic to=
allow USD amounts to be transferred over it (Taro? something oracle based so that both parties are confident a fair exchange rate will be used?).

Maybe that particular idea is naive, but having an actual problem to
solve seems more constructive than just saying "we want rbf" &quo= t;but we
want zeroconf" all the time?

(Ideally the lightning channels above would be dual funded so they could be used for routing more generally; but then dual funded channels are
one of the things that get broken by lack of full rbf)

> > I thought the "normal" avenue for fooling non-RBF zeroc= onf was to create
> > two conflicting txs in advance, one paying the merchant, one payi= ng
> > yourself, connect to many peers, relay the one paying the merchan= t to
> > the merchant, and the other to everyone else.
> > I'm just basing this off Peter Todd's stuff from years ag= o:
> > https://np.reddit.com/r/Bitcoin/comments/40ejy8/peter_todd_with_my= _doublespendpy_tool_with/cytlhh0/
> > https://github= .com/petertodd/replace-by-fee-tools/blob/master/doublespend.py
> Yeah, I know the list still rehashes a single incident from 10 years a= go to
> declare the entire practice as unsafe, and ignores real-world data tha= t of
> the last million transactions we had zero cases of this successfully > abusing us.

I mean, the avenue above isn't easy to exploit -- you have to identify<= br> the merchant's node so that they get the bad tx, and you have to connec= t
to many peers so that your preferred tx propogates to miners first --
and probably more importantly, it's relatively easy to detect -- if the=
merchant has a few passive nodes that the attacker doesn't know about it, and uses those to watch for attempted doublespends while it tries
to ensure the real tx has propogated widely. So it doesn't surprise me<= br> at all that it's not often attempted, and even less often successful.
> > > Currently Lightning is somewhere around 15% of our total bit= coin
> > > payments.
> > So, based on last year's numbers, presumably that makes your = bitcoin
> > payments break down as something like:
> >=C2=A0 =C2=A0 5% txs are on-chain and seem shady and are excluded = from zeroconf
> >=C2=A0 =C2=A015% txs are lightning
> >=C2=A0 =C2=A020% txs are on-chain but signal rbf and are excluded = from zeroconf
> >=C2=A0 =C2=A060% txs are on-chain and seem fine for zeroconf
> Numbers are right. Shady is too strong a word,

Heh, fair enough.

So the above suggests 25% of payments already get a sub-par experience,
compared to what you'd like them to have (which sucks, but if you'r= e
trying to reinvent both money and payments, maybe isn't surprising). An= d
going full rbf would bump that from 25% to 85%, which would be pretty
terrible.

> RBF is a strictly worse UX as proven by anyone
> accepting bitcoin payments at scale.

So let's make it better? Building bitcoin businesses on the lie that unconfirmed txs are safe and won't be replaced is going to bite us
eventually; focussing on trying to push that back indefinitely is just
going to make everyone less prepared when it eventually happens.

> > > For me
> > > personally it would be an easier discussion to have when Lig= htning is at
> > > 80%+ of all bitcoin transactions.
> > Can you extrapolate from the numbers you've seen to estimate = when that
> > might be, given current trends?
> Not sure, it might be exponential growth, and the next 60% of Lightnin= g
> growth happen faster than the first 15%. Hard to tell. But we're l= ikely
> talking years here..

Okay? Two years is very different from 50 years, and at the moment there= 9;s
not really any data, so people are just going to go with their gut...

If it were growing in line with lightning capacity in BTC, per
bitcoinvisuals.com/ln-capacity; then 15% now would have gro= wn from
perhaps 4% in May 2021, so perhaps 8% per year. With linear growth,
getting from 15% to 80% would then be about 8 years.

Presumably that's a laughably terrible model, of course. But if we had<= br> some actual numbers where we can watch the progress, it might be a lot
easier to be patient about waiting for lightning adoption to hit 80%
or whatever, and focus on productive things in the meantime?

Cheers,
aj
_______________________________________________
bitcoin-dev mailing list
= bitcoin-dev@lists.linuxfoundation.org
https://lists.linuxfoundation.org/mail= man/listinfo/bitcoin-dev
--000000000000eaef2605eb7db5b0--