bitcoinfees / bitcoin-feemodel

Bitcoin transaction fee modeling and estimation
https://bitcoinfees.github.io
MIT License
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NOTE: This project has been succeeded by Feesim.

bitcoin-feemodel (unreleased)

Model-based transaction fee estimation; this is a work in progress.

The general approach is:

  1. Model a miner's transaction selection policy as greedily adding txs according to feerate until max block size or min fee rate has been reached, whichever is earlier.
  2. Model the transaction arrivals as a poisson process, with each transaction having (feerate, size) independently drawn from a certain joint distribution.
  3. Estimate the model parameters and run a simulation to obtain the metrics of interest e.g. the wait / confirmation time of a transaction as a function of its fee rate.