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Bitcoin TLDR

#68

Feb 18 - Feb 22, 2025

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Catch up on This Week's Activity

Hunter Beast's update on the Bitcoin Development Community's efforts towards a post-quantum roadmap reveals a pivot in the BIP-360 proposal towards algorithms like FALCON that favor signature aggregation, addressing concerns over DDoS implications and multisig wallet management challenges. The proposal, accessible here, underlines the importance of NIST-approved algorithms for FIPS compliance and introduces an interim solution named P2TRH for Taproot keypath spends, as detailed here, to mitigate quantum security concerns with a call for community feedback emphasized.

John's analysis of the Bitcoin codebase brings to light the potential for optimizing the validation process for transactions already verified by the mempool, particularly SegWit-verified transactions, to enhance efficiency without sacrificing security. This discussion, found here, questions the necessity of re-validating mempool transactions during block processing and explores the feasibility of streamlining this aspect of transaction handling.

Antoine Riard et al. propose drafts for improving the Bitcoin transaction-relay protocol to address vulnerabilities to DoS attacks and privacy concerns stemming from the current system's inefficiencies. These proposals suggest strict validation sequences and a new versioning system for peer-to-peer address messages to secure the transaction relay process, with ongoing community discussions aimed at refining these solutions without necessitating a complete protocol overhaul, as highlighted here.

T-bast's work on incorporating zero-fee commitments into lightning channels focuses on enhancing mobile wallets by reducing their attack surface and addressing risks associated with revoked commitments and HTLC handling. This initiative, detailed here, represents a significant advancement in securing mobile wallet funds in the cryptocurrency ecosystem, with a community feedback loop encouraged to finalize these improvements in a forthcoming bLIP.

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Latest Bitcoin TLDR Newsletters

Bitcoin TLDR

#68

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Feb 18 - Feb 22, 2025

Hunter Beast's update on the Bitcoin Development Community's efforts towards a post-quantum roadmap reveals a pivot in the BIP-360 proposal towards algorithms like FALCON that favor signature aggregation, addressing concerns over DDoS implications and multisig wallet management challenges. The proposal, accessible [here](https://github.com/cryptoquick/bips/blob/p2qrh/bip-0360.mediawiki), underlines the importance of NIST-approved algorithms for FIPS compliance and introduces an interim solution named P2TRH for Taproot keypath spends, as detailed [here](https://github.com/cryptoquick/bips/blob/p2trh/bip-p2trh.mediawiki), to mitigate quantum security concerns with a call for community feedback emphasized. John's analysis of the Bitcoin codebase brings to light the potential for optimizing the validation process for transactions already verified by the mempool, particularly SegWit-verified transactions, to enhance efficiency without sacrificing security. This discussion, found [here](https://gnusha.org/pi/bitcoindev/PwJsLY2Y0zpBfSnWT-O1iP-r6n7sipm-EFgK-LnnZqkPMoSUO6HJxigmt2J0CRTd8A6V4UVpA-JFCd6MaXZ0Up1bye5zVxXGdSrhIsyr38s=@wuille.net/T/#m575a2097c3593c2b227da5331d09455193bc01d1), questions the necessity of re-validating mempool transactions during block processing and explores the feasibility of streamlining this aspect of transaction handling. Antoine Riard et al. propose drafts for improving the Bitcoin transaction-relay protocol to address vulnerabilities to DoS attacks and privacy concerns stemming from the current system's inefficiencies. These proposals suggest strict validation sequences and a new versioning system for peer-to-peer address messages to secure the transaction relay process, with ongoing community discussions aimed at refining these solutions without necessitating a complete protocol overhaul, as highlighted [here](https://gnusha.org/pi/bitcoindev/e98ec3a3-b88b-4616-8f46-58353703d206n@googlegroups.com/T/#u#mccb53e4b831ab79c06a2bcaa4004ed1712792d52). T-bast's work on incorporating zero-fee commitments into lightning channels focuses on enhancing mobile wallets by reducing their attack surface and addressing risks associated with revoked commitments and HTLC handling. This initiative, detailed [here](https://delvingbitcoin.org/t/zero-fee-commitments-for-mobile-wallets/1453), represents a significant advancement in securing mobile wallet funds in the cryptocurrency ecosystem, with a community feedback loop encouraged to finalize these improvements in a forthcoming bLIP.

Bitcoin TLDR

#67

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Feb 10 - Feb 16, 2025

Agustin Cruz introduced the *Quantum-Resistant Address Migration Protocol (QRAMP)*, a Bitcoin Improvement Proposal designed to safeguard the Bitcoin network against quantum computing threats by transitioning funds from legacy to quantum-resistant addresses. The proposal outlines a detailed plan for implementation, including backward compatibility and security considerations, and invites community feedback on [GitHub](https://github.com/chucrut/bips/blob/master/bip-xxxxx.md). Jose Storopoli and Trey Del Bonis, among others at Alpen Labs, developed the Bitcoin Output Script Descriptor (BOSD) to enhance the standardness of on-chain withdrawals for Bitcoin Layer 2 solutions, minimizing the risk of non-standard transactions. This open-source Rust implementation, available on [crates.io](https://crates.io/crates/bitcoin-bosd), aims to streamline validation logic, with detailed specifications and the motivation behind BOSD provided on [GitHub](https://github.com/alpenlabs/bitcoin-bosd/blob/main/SPECIFICATION.md). Pythcoiner has been working on joinstr, a library to support the development of privacy-centric applications for coinjoin, currently in an experimental stage. This effort signifies a broader engagement with developers to enhance privacy in digital currency transactions, inviting collaboration and feedback through email or simplex chat. AJ Towns highlighted the release of Bitcoin Inquisition 28.1, incorporating features from [Bitcoin Core 28.1](https://bitcoincore.org/en/releases/28.1/) and supporting several proposed consensus changes to improve Bitcoin's operational framework. This version, available on [GitHub](https://github.com/bitcoin-inquisition/bitcoin/releases/tag/v28.1-inq), also emphasizes the importance of establishing social consensus before implementing code changes, as discussed in the [bcap project](https://github.com/bitcoin-cap/bcap) and a guide on making consensus changes within Bitcoin, underscoring the necessity for widespread agreement and a cooperative approach to modifications in the network.

Bitcoin TLDR

#66

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Feb 3 - Feb 9, 2025

The Bitcoin Improvement Proposal (BIP) process has evolved with significant contributions from the development community, as highlighted by Murch's efforts to refine the proposal system, culminating in the designation of BIP 3. This initiative aims to enhance the robustness and inclusivity of the framework for Bitcoin improvements, inviting community feedback and support through a [public pull request on GitHub](https://github.com/bitcoin/bips/pull/1712). Meanwhile, Antoine Poinsot and colleagues have been addressing vulnerabilities within the Bitcoin protocol, proposing updates to improve security and efficiency, such as counteracting the timewarp attack and refining transaction validation processes. These ongoing efforts represent a collective endeavor to fortify Bitcoin's underlying mechanisms against emerging threats. Experimental insights from sr-gi on the Erlay protocol demonstrate an exploration of optimal transaction relay strategies to enhance Bitcoin network efficiency, revealing the nuanced balance between bandwidth savings and latency through various fanout configurations. This research indicates that adjusting fanout rates based on transaction propagation stages could optimize network resource utilization without compromising propagation speed, as detailed in discussions on [Delving into Bitcoin](https://delvingbitcoin.org/t/erlay-overview-and-current-approach/1415p-4127-choosing-fanout-peers-at-relay-scheduling-time-4). Additionally, the innovative approach by [multisigbackup.com](http://multisigbackup.com/) to encrypt and inscribe multisig wallet descriptors onto the Bitcoin blockchain introduces a novel method for securing and recovering multisig wallets, addressing common challenges associated with descriptor backup and recovery processes. In parallel, jsarenik's development of a Bitcoin faucet exemplifies the community's commitment to supporting accessible, efficient testing environments for Bitcoin developments. By providing satoshis with optimized transaction fee rates and employing a unique "CSFP" mechanism, this faucet enhances the practicality of testing Bitcoin transactions, demonstrating the collaborative spirit and technical ingenuity within the Bitcoin development ecosystem. Together, these initiatives underscore the ongoing efforts to improve Bitcoin's security, efficiency, and usability, driven by a community dedicated to fostering innovation and resilience in the face of evolving challenges.

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