The number of operations performed daily within the Bitcoin network is increasing every day. It leads to overflow of the blocks. Simultaneous inclusion of all operations in the distributed registry is impossible, so a special pool of memory is formed. This pool is like a queue, consisting exclusively of operations.
Virtual currency borrowers prefer to perform payments with the largest amount of commission, referring to the operations with the highest priority. At the same time, financial payments with a small amount of commission can be interrupted by payments with a higher commission amount. The first are entered in a special memory pool, which performs the queue role, until the creation of another block. Subject to another interruption of the operation, the client must wait the creation of a new block. Such cycle can last quite a long time.
The above principle of performing financial operations has a negative impact on interaction with users. In order for a low-fee payment to be confirmed by a user, it may take from a few hours to several days. Sometimes, the operation remains unconfirmed.
So, let’s consider what actions should be performed to ensure the operation is performed and to prevent the hang.
While sending payment
Recently, most virtual wallets set a standard fee for all payments made by the user. The size of such a commission was equal to 10,000 Satoshi. Due to the fact that there was always a sufficient amount of free space in the blocks of digital currency collectors, they often included similar operations in the executed block, regardless of the amount of compensation.
Along with the development of the Bitcoin network, the struggle for the space used in the block began. Remuneration of 10 thousand Satoshi for the operation was not enough. Payment with such reward in almost all cases was interrupted by transactions with a higher commission. However, after a while, the confirmation received operations even with an insignificant commission level.
Application of dynamic commissions
As of today, many virtual wallets use dynamic commissions for payments. The amount of such commissions is based on the information obtained during the Bitcoin network analysis. Such digital wallets in an automatic mode set the size of the commission, so you can perform the operation in the nearest block.
Certain virtual wallets allow users to choose the most priority commission size. It should be noted that transactions with a smaller commission require more time for execution.
If the payments made by the user are delayed during peak hours, and there is no possibility to increase the commission, the owner can be sure that the wallet is obsolete. In order to avoid such negative phenomena, the user should check for updates on the official portal. In case of their absence, it is recommended to change the virtual wallet.
Change of virtual wallet
If the user changes one wallet to another, he will need to transfer money from the previously used wallet. Those for whom every minute is expensive can use the usual transaction through the Bitcoin network. But it is important to consider that the commission for such transfer will be quite high.
For users who are not in a hurry, experts recommend using a special function that is present in specific digital wallets, allowing you to export user security keys and their initiators, as well as entering the relevant data into a new virtual wallet. When performing such operation, the general Bitcoin network is not activated, so the user can immediately make payments using a new wallet after the transfer.
Increase the commission fee
Users wishing that their payments are confirmed in the shortest period of time should set a higher commission.
We recommend to set the compensation amount by yourself. This can be done when sending a payment or changing settings of the digital wallet used.
Many services that analyze the distributed registry, are able to offer the user the optimal amount of compensation. In addition, these services provide information about the speed of confirmation at the user-specified commission level.
To confirm the operation in the shortest period of time, it is recommended to set a higher commission amount. But in case the payment is not urgent, the amount of the reward offered by the user may be slightly lower. In the latter case, the time taken to confirm the payment will be longer.
After sending the payment
It may happen that the user made a payment and hangs. In this situation, we can recommend you following options.
Child Pays for Parent option
Some experts recommend using a Child Pays for Parent option. When using this function, the virtual currency owners prefer operations with the highest commission level. The miners choose several payments with combined commissions.
Most of the operations allow you to send the tokens and make a return of the “change”. The obtained funds can be used to carry out the following financial transactions.
Some part of the virtual wallets gives users the opportunity to operate this “change” until the payment is confirmed. In other words, the user can send this amount of funds to his or her virtual wallet using a new operation. In this case, do not forget about including a larger commission, which allows you to complete the original payment with a lower commission. The provider of the virtual currency must take the entire set of payments, and confirm all payments and transactions simultaneously.
If there is no possibility of spending unconfirmed “change”, the user can use his own funds from his virtual wallet, which must include “delivery”.
Today, not all cryptocurrency holders support the Child Pays for Parent option, but their numbers are enough to make such payment confirmed in the nearest block.
Option Opt-In Replace-by-fee
The most affordable way to carry out transaction is to use the unique Opt-In Replace-by-fee function. The user can send the same payment, but with a higher commission level.
If he declines to apply the above option, while resending the payment with a higher commission fee, the general network will reject it. As a rule, related nodes classify the second payment as a double waste, which is why they delay or do not accept them at all.
But in the case of sending a payment using the Opt-In Replace-by-fee option, the user tells the network to send the transaction later, but using a higher commission. In such cases, such a payment is used as a replacement for the old one and has a higher priority for confirmation.
The inclusion of a financial operation in the nearest block is directly dependent on the holder of the virtual currency since not all miners use the above option. But this function is supported by a sufficient number of virtual currency miners, which significantly increases the chance of switching the transaction to the nearest block.
As of today, this option is supported by the GreenAddress and Electrum wallets. In the Bitcoin core, this option is supported when processing payments. At the same time, the creation of their RBF operations is possible only if third-party scripts are used. Depending on the user’s virtual wallet, you may need to perform an Opt-In Replace-by-fee update.
If the two options above are not available, the user may attempt to send the original payment with a higher commission amount. Such an operation is called “full replace-by-fee” and is allowed by some earners of the virtual currency. This function is not supported by many public digital wallets.
The second way is to wait for confirmation of payment or return funds to the wallet. It is important to remember that before the confirmation, the sent tokens are located in the wallet, despite the fact that in reality, this does not happen. In fact, the funds sent cannot hang or get lost inside the Bitcoin network.
Naturally, the payment hanging on the network poses a problem not only for the sender but also for the recipient.
Provided that the wallet supports the possibility of spending funds from unconfirmed payments, this problem is solved using the Child Pays for Parent option. Similar to the method mentioned above, the recipient can re-use the incoming funds of the unconfirmed payment himself, while including a commission that would be sufficient to compensate for the initial low payment. Provided that the specified commission will be enough, its confirmation can be expected in the nearest block.
Another option for the recipient is to obtain information from the sender regarding the use of the Opt-In Replace-by-fee function. In this case, he will be able to send the payment again with a higher commission.