Hi Peter,

Thanks you for investigate my concern and replicate the scenario I drafted.

On 27.01.24 02:19, Peter Todd wrote:
I actually tried this attack out, and it fails at step #4 due to the Rule #6,
PaysMoreThanConflicts, check.

While on stacker.news you stated that:

     tx_HS has 5000 vB and pays 21 s/vB, but since it spends an output from a
     low-feerate parent, it’s mining score is only 1.95 s/vB.

and

     You RBF tx_LL and tx_HS with tx_LM that has 100,000 vB and pays 3.05 s/vB 
(fee:
     305,000 s) by spending the outputs C1 and C2. This is permitted, since only
     tx_LL is a direct conflict, so the feerate of tx_HS does not have to be 
beat
     directly.

tx_HS _is_ considered to be a direct conflict, and its raw fee-rate _does_ have
to be beat directly. While ts_HS does spend an unconfirmed output, it appears
that the fee-rate PaysMoreThanConflicts uses to calculate if ts_HS can be
beaten is ts_HS's raw fee-rate. So looks like your understanding was incorrect
on these two points.

I agree in the detail, but not about the big picture. You are right that it’s a problem that `tx_LM` and `tx_HS` spend the same input and therefore are direct conflicts.

Luckily, it is unnecessary for my scenario that `tx_LM` and `tx_HS` conflict. The scenario only requires that `tx_LM` conflicts with `tx_LL` and `tx_RBFr`. `tx_HS` is supposed to get dropped indirectly per the conflict with `tx_LL`.

It seems to me that my example attack should work when a third confirmed input `c3` is introduced as follows: `tx_LM` spends `c3` instead of `c2`, and `tx_RBFr` spends both `c2` and `c3`, which allows the following four conflicts:

- `tx_HS` and `tx_RBFr` conflict on spending `c2`
- `tx_HS` and `tx_LS` conflict on spending `tx_LL:0`
- `tx_LL` and `tx_LM` conflict on spending `c1`
- `tx_LM` and `tx_RBFr` conflict on spending `c3`

`tx_RBFr` would end up slightly bigger and therefore have a bigger fee, but otherwise the number should work out fine as they are. I have not verified this yet (thanks for sharing your code), but I might be able to take another look in the coming week if you haven’t by then.

It seems to me that my main point stands, though: the proposed RBFr rules would enable infinite replacement cycles in combination with the existing RBF rules.

Murch
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