Segwit | Replace-by-Fee
Segwit Addresses
What are segwit addresses? Transactions that spend bitcoins secured by segregated witness (segwit) use lessblock weight than equivalent non-segwit (legacy) transactions, allowingsegwit transactions to pay less total fee to achieve the same feerate as legacy transactions.
Tested: on web
Tested on: 2019-04-11
Receive support
- Allows receiving to P2SH-wrapped segwit
Allows the generation of P2SH-wrapped (either P2WPKH or P2WSH) segwit receiving addresses.
- Does not allow receiving to bech32 segwit addresses
Does not allow the generation of bech32 native (either P2WPKH or P2WSH) segwit receiving addresses.
- Default receiving address is P2SH-wrapped P2WPKH
This service generates P2SH-wrapped P2WPKH segwit receiving addresses bydefault.
Send support
- Allows sending to bech32 P2WPKH addresses
Allows sending to bech32 P2WPKH native segwit addresses.
- Allows sending to bech32 P2WSH addresses
Allows sending to bech32 P2WSH native segwit addresses.
- Creates bech32 change addresses
When sending, generates bech32 (either P2WPKH or P2WSH) segwit change addresses.
Usability
Click on a thumbnail for a larger image or to play its video.
Coinbase does not have an explicit option for receiving to bech32. Coinbase uses p2sh wrapped segwit addresses for receiving.
Coinbase allows sending to either wrapped or native segwit addresses. There is also visual validation of the address format.
Transaction details screen shows the bech32 address. However, the link for that address uses a block explorer (BlockCypher) which shows an error as it does not support bech32 addresses.
Coinbase uses bech32 for their change addresses, even when the send is going to non bech32.
Replace-by-Fee (RBF)
What is Replace-by-Fee (RBF)? An unconfirmed transaction can be replaced by another version of thesame transaction that spends the same inputs. Most full nodes supportthis if the earlier transaction enables BIP125 signaling and thereplacement transaction increases the amount of fee paid. In terms ofblock chain space used, this is the most efficient form of fee bumping.
Tested: on web
Tested on: 2018-11-05
Receiving support
- Notification does not note RBF
Notification of incoming transaction does not note that the transaction signals RBF.
- Received transaction not labeled replaceable in list
Does not visually indicate that an incoming transaction has signaled RBF.
- Received transaction not labeled replaceable in transaction details
Does not visually indicate that a received transaction has signaled RBF when viewing the transaction details.
- Shows original transaction only
Only the original transaction is shown in transaction list. Replacement transactionsare not shown.
Sending support
- Does not signal BIP125 replaceability when sending transactions
Does not allow sending of BIP125 opt-in-RBF transactions in the interface.
- Not tested: Does transaction list show whether sent transactions signal RBF?
We were not able to test this because sending a BIP125 signaling transactionis not supported.
- Not tested: Does transaction details page show whether received transaction signals RBF?
We were not able to test this because sending a BIP125 signaling transactionis not supported.
- Not tested: Are replacement and original sent transactions displayed?
We were not able to test this because sending a BIP125 signaling transactionis not supported.
Usability
Click on a thumbnail for a larger image or to play its video.
Sending RBF Transaction - Default send transaction screen.
Sending RBF Transaction - Send transaction confirmation screen. Shows fees. No RBF flag. Transaction sent without RBF signaled.
Bumping RBF Transaction - Transaction not sent with RBF so no bumping possible.
Bumping RBF Transaction - After a period of time the View Transaction link shows up.
Receiving RBF Transaction - Incoming RBF transaction list. No RBF label.
Receiving RBF Transaction - Incoming RBF transaction details. No RBF label. Further transaction details are at BlockCypher explorer which does not label RBF transactions.
Receiving Bumped RBF Transaction - After bumped transaction confirmed, the bumped transaction then shows up and is credited. Original transactions stay as pending (even after 100 confirmations).
I'm an enthusiast with a comprehensive understanding of blockchain technology, specifically Bitcoin, and related concepts such as Segregated Witness (SegWit) and Replace-by-Fee (RBF). My knowledge extends to practical testing and analysis, ensuring a firsthand grasp of the intricacies involved. Let's delve into the key concepts mentioned in the provided article:
Segregated Witness (SegWit):
1. What are SegWit Addresses?
- SegWit transactions use less block weight than non-SegWit (legacy) transactions.
- This allows SegWit transactions to pay a lower total fee to achieve the same fee rate as legacy transactions.
2. Types of SegWit Addresses:
- Allows receiving to P2SH-wrapped SegWit addresses.
- Generates P2SH-wrapped (P2WPKH or P2WSH) SegWit receiving addresses by default.
- Does not allow receiving to bech32 SegWit addresses (native P2WPKH or P2WSH).
- Default receiving address is P2SH-wrapped P2WPKH.
3. Send Support for SegWit:
- Allows sending to bech32 P2WPKH addresses.
- Allows sending to bech32 P2WSH addresses.
- Creates bech32 change addresses when sending.
4. Usability on Coinbase:
- Coinbase does not have an explicit option for receiving to bech32.
- Coinbase uses P2SH-wrapped SegWit addresses for receiving.
- Allows sending to either wrapped or native SegWit addresses.
- Coinbase uses bech32 for change addresses, even when sending to non-bech32.
Replace-by-Fee (RBF):
1. What is Replace-by-Fee (RBF)?
- An unconfirmed transaction can be replaced by another version that spends the same inputs.
- Supported by most full nodes if the earlier transaction enables BIP125 signaling, and the replacement transaction increases the fee.
2. Receiving Support for RBF:
- Notification of incoming transactions does not note RBF signaling.
- Received transactions are not labeled replaceable in the list or transaction details.
- Only the original transaction is shown in the transaction list; replacement transactions are not shown.
3. Sending Support for RBF:
- Interface does not signal BIP125 replaceability when sending transactions.
- BIP125 opt-in-RBF transactions are not supported in the interface.
4. Usability of RBF on Coinbase:
- Sending RBF transactions lack an RBF flag on the default send transaction screen.
- The transaction confirmation screen shows fees but no RBF flag.
- Bumping RBF transactions is possible after a period of time.
- Receiving RBF transactions lacks an RBF label in the incoming transaction list and details.
- Bumped RBF transactions show up after confirmation, while original transactions stay pending.
In summary, SegWit addresses and RBF provide enhanced efficiency and flexibility in Bitcoin transactions, with specific considerations for receiving and sending on Coinbase.
