policy: Allow dust in transactions, spent in-mempool

Also known as Ephemeral Dust.

We try to ensure that dust is spent in blocks by requiring:
  - ephemeral dust tx is 0-fee
  - ephemeral dust tx only has one dust output
  - If the ephemeral dust transaction has a child,
    the dust is spent by by that child.

0-fee requirement means there is no incentive to mine
a transaction which doesn't have a child bringing its
own fees for the transaction package.

Author: instagibbs

src/CMakeLists.txt

@@ -252,6 +252,7 @@ add_library(bitcoin_node STATIC EXCLUDE_FROM_ALL
   node/utxo_snapshot.cpp
   node/warnings.cpp
   noui.cpp
+  policy/ephemeral_policy.cpp
   policy/fees.cpp
   policy/fees_args.cpp
   policy/packages.cpp

src/kernel/CMakeLists.txt

@@ -33,6 +33,7 @@ add_library(bitcoinkernel
   ../node/blockstorage.cpp
   ../node/chainstate.cpp
   ../node/utxo_snapshot.cpp
+  ../policy/ephemeral_policy.cpp
   ../policy/feerate.cpp
   ../policy/packages.cpp
   ../policy/policy.cpp

src/policy/ephemeral_policy.cpp

@@ -0,0 +1,78 @@
+// Copyright (c) 2024-present The Bitcoin Core developers
+// Distributed under the MIT software license, see the accompanying
+// file COPYING or http://www.opensource.org/licenses/mit-license.php.
+
+#include <policy/ephemeral_policy.h>
+#include <policy/policy.h>
+
+bool HasDust(const CTransactionRef& tx, CFeeRate dust_relay_rate)
+{
+    return std::any_of(tx->vout.cbegin(), tx->vout.cend(), [&](const auto& output) { return IsDust(output, dust_relay_rate); });
+}
+
+bool CheckValidEphemeralTx(const CTransactionRef& tx, CFeeRate dust_relay_rate, CAmount base_fee, CAmount mod_fee, TxValidationState& state)
+{
+    // We never want to give incentives to mine this transaction alone
+    if ((base_fee != 0 || mod_fee != 0) && HasDust(tx, dust_relay_rate)) {
+        return state.Invalid(TxValidationResult::TX_NOT_STANDARD, "dust", "tx with dust output must be 0-fee");
+    }
+
+    return true;
+}
+
+std::optional<Txid> CheckEphemeralSpends(const Package& package, CFeeRate dust_relay_rate, const CTxMemPool& tx_pool)
+{
+    if (!Assume(std::all_of(package.cbegin(), package.cend(), [](const auto& tx){return tx != nullptr;}))) {
+        // Bail out of spend checks if caller gave us an invalid package
+        return std::nullopt;
+    }
+
+    std::map<Txid, CTransactionRef> map_txid_ref;
+    for (const auto& tx : package) {
+        map_txid_ref[tx->GetHash()] = tx;
+    }
+
+    for (const auto& tx : package) {
+        Txid txid = tx->GetHash();
+        std::unordered_set<Txid, SaltedTxidHasher> processed_parent_set;
+        std::unordered_set<COutPoint, SaltedOutpointHasher> unspent_parent_dust;
+
+        for (const auto& tx_input : tx->vin) {
+            const Txid& parent_txid{tx_input.prevout.hash};
+            // Skip parents we've already checked dust for
+            if (processed_parent_set.contains(parent_txid)) continue;
+
+            // We look for an in-package or in-mempool dependency
+            CTransactionRef parent_ref = nullptr;
+            if (auto it = map_txid_ref.find(parent_txid); it != map_txid_ref.end()) {
+                parent_ref = it->second;
+            } else {
+                parent_ref = tx_pool.get(parent_txid);
+            }
+
+            // Check for dust on parents
+            if (parent_ref) {
+                for (uint32_t out_index = 0; out_index < parent_ref->vout.size(); out_index++) {
+                    const auto& tx_output = parent_ref->vout[out_index];
+                    if (IsDust(tx_output, dust_relay_rate)) {
+                        unspent_parent_dust.insert(COutPoint(parent_txid, out_index));
+                    }
+                }
+            }
+
+            processed_parent_set.insert(parent_txid);
+        }
+
+        // Now that we have gathered parents' dust, make sure it's spent
+        // by the child
+        for (const auto& tx_input : tx->vin) {
+            unspent_parent_dust.erase(tx_input.prevout);
+        }
+
+        if (!unspent_parent_dust.empty()) {
+            return txid;
+        }
+    }
+
+    return std::nullopt;
+}

src/policy/ephemeral_policy.h

@@ -0,0 +1,55 @@
+// Copyright (c) 2024-present The Bitcoin Core developers
+// Distributed under the MIT software license, see the accompanying
+// file COPYING or http://www.opensource.org/licenses/mit-license.php.
+
+#ifndef BITCOIN_POLICY_EPHEMERAL_POLICY_H
+#define BITCOIN_POLICY_EPHEMERAL_POLICY_H
+
+#include <policy/packages.h>
+#include <policy/policy.h>
+#include <primitives/transaction.h>
+#include <txmempool.h>
+
+/** These utility functions ensure that ephemeral dust is safely
+ * created and spent without unduly risking them entering the utxo
+ * set.
+
+ * This is ensured by requiring:
+ * - CheckValidEphemeralTx checks are respected
+ * - The parent has no child (and 0-fee as implied above to disincentivize mining)
+ * - OR the parent transaction has exactly one child, and the dust is spent by that child
+ *
+ * Imagine three transactions:
+ * TxA, 0-fee with two outputs, one non-dust, one dust
+ * TxB, spends TxA's non-dust
+ * TxC, spends TxA's dust
+ *
+ * All the dust is spent if TxA+TxB+TxC is accepted, but the mining template may just pick
+ * up TxA+TxB rather than the three "legal configurations:
+ * 1) None
+ * 2) TxA+TxB+TxC
+ * 3) TxA+TxC
+ * By requiring the child transaction to sweep any dust from the parent txn, we ensure that
+ * there is a single child only, and this child, or the child's descendants,
+ * are the only way to bring fees.
+ */
+
+/** Returns true if transaction contains dust */
+bool HasDust(const CTransactionRef& tx, CFeeRate dust_relay_rate);
+
+/* All the following checks are only called if standardness rules are being applied. */
+
+/** Must be called for each transaction once transaction fees are known.
+ * Does context-less checks about a single transaction.
+ * Returns false if the fee is non-zero and dust exists, populating state. True otherwise.
+ */
+bool CheckValidEphemeralTx(const CTransactionRef& tx, CFeeRate dust_relay_rate, CAmount base_fee, CAmount mod_fee, TxValidationState& state);
+
+/** Must be called for each transaction(package) if any dust is in the package.
+ *  Checks that each transaction's parents have their dust spent by the child,
+ *  where parents are either in the mempool or in the package itself.
+ *  The function returns std::nullopt if all dust is properly spent, or the txid of the violating child spend.
+ */
+std::optional<Txid> CheckEphemeralSpends(const Package& package, CFeeRate dust_relay_rate, const CTxMemPool& tx_pool);
+
+#endif // BITCOIN_POLICY_EPHEMERAL_POLICY_H

src/policy/policy.cpp

@@ -129,6 +129,7 @@ bool IsStandardTx(const CTransaction& tx, const std::optional<unsigned>& max_dat
     }
 
     unsigned int nDataOut = 0;
+    unsigned int num_dust_outputs{0};
     TxoutType whichType;
     for (const CTxOut& txout : tx.vout) {
         if (!::IsStandard(txout.scriptPubKey, max_datacarrier_bytes, whichType)) {
@@ -142,11 +143,16 @@ bool IsStandardTx(const CTransaction& tx, const std::optional<unsigned>& max_dat
             reason = "bare-multisig";
             return false;
         } else if (IsDust(txout, dust_relay_fee)) {
-            reason = "dust";
-            return false;
+            num_dust_outputs++;
         }
     }
 
+    // Only MAX_DUST_OUTPUTS_PER_TX dust is permitted(on otherwise valid ephemeral dust)
+    if (num_dust_outputs > MAX_DUST_OUTPUTS_PER_TX) {
+        reason = "dust";
+        return false;
+    }
+
     // only one OP_RETURN txout is permitted
     if (nDataOut > 1) {
         reason = "multi-op-return";

src/policy/policy.h

@@ -77,6 +77,10 @@ static const unsigned int MAX_OP_RETURN_RELAY = 83;
  */
 static constexpr unsigned int EXTRA_DESCENDANT_TX_SIZE_LIMIT{10000};
 
+/**
+ * Maximum number of ephemeral dust outputs allowed.
+ */
+static constexpr unsigned int MAX_DUST_OUTPUTS_PER_TX{1};
 
 /**
  * Mandatory script verification flags that all new transactions must comply with for

src/test/transaction_tests.cpp

@@ -813,6 +813,11 @@ BOOST_AUTO_TEST_CASE(test_IsStandard)
     // Check dust with default relay fee:
     CAmount nDustThreshold = 182 * g_dust.GetFeePerK() / 1000;
     BOOST_CHECK_EQUAL(nDustThreshold, 546);
+
+    // Add dust output to take dust slot, still standard!
+    t.vout.emplace_back(0, t.vout[0].scriptPubKey);
+    CheckIsStandard(t);
+
     // dust:
     t.vout[0].nValue = nDustThreshold - 1;
     CheckIsNotStandard(t, "dust");
@@ -969,6 +974,10 @@ BOOST_AUTO_TEST_CASE(test_IsStandard)
     CheckIsNotStandard(t, "bare-multisig");
     g_bare_multi = DEFAULT_PERMIT_BAREMULTISIG;
 
+    // Add dust output to take dust slot
+    assert(t.vout.size() == 1);
+    t.vout.emplace_back(0, t.vout[0].scriptPubKey);
+
     // Check compressed P2PK outputs dust threshold (must have leading 02 or 03)
     t.vout[0].scriptPubKey = CScript() << std::vector<unsigned char>(33, 0x02) << OP_CHECKSIG;
     t.vout[0].nValue = 576;

src/validation.cpp

@@ -32,6 +32,7 @@
 #include <logging/timer.h>
 #include <node/blockstorage.h>
 #include <node/utxo_snapshot.h>
+#include <policy/ephemeral_policy.h>
 #include <policy/policy.h>
 #include <policy/rbf.h>
 #include <policy/settings.h>
@@ -912,6 +913,13 @@ bool MemPoolAccept::PreChecks(ATMPArgs& args, Workspace& ws)
                                     fSpendsCoinbase, nSigOpsCost, lock_points.value()));
     ws.m_vsize = entry->GetTxSize();
 
+    // Enforces 0-fee for dust transactions, no incentive to be mined alone
+    if (m_pool.m_opts.require_standard) {
+        if (!CheckValidEphemeralTx(ptx, m_pool.m_opts.dust_relay_feerate, ws.m_base_fees, ws.m_modified_fees, state)) {
+            return false; // state filled in by CheckValidEphemeralTx
+        }
+    }
+
     if (nSigOpsCost > MAX_STANDARD_TX_SIGOPS_COST)
         return state.Invalid(TxValidationResult::TX_NOT_STANDARD, "bad-txns-too-many-sigops",
                 strprintf("%d", nSigOpsCost));
@@ -1432,6 +1440,16 @@ MempoolAcceptResult MemPoolAccept::AcceptSingleTransaction(const CTransactionRef
         return MempoolAcceptResult::Failure(ws.m_state);
     }
 
+    if (m_pool.m_opts.require_standard) {
+        if (const auto ephemeral_violation{CheckEphemeralSpends(/*package=*/{ptx}, m_pool.m_opts.dust_relay_feerate, m_pool)}) {
+            const Txid& txid = ephemeral_violation.value();
+            Assume(txid == ptx->GetHash());
+            ws.m_state.Invalid(TxValidationResult::TX_MEMPOOL_POLICY, "missing-ephemeral-spends",
+                          strprintf("tx %s did not spend parent's ephemeral dust", txid.ToString()));
+            return MempoolAcceptResult::Failure(ws.m_state);
+        }
+    }
+
     if (m_subpackage.m_rbf && !ReplacementChecks(ws)) {
         if (ws.m_state.GetResult() == TxValidationResult::TX_RECONSIDERABLE) {
             // Failed for incentives-based fee reasons. Provide the effective feerate and which tx was included.
@@ -1570,6 +1588,19 @@ PackageMempoolAcceptResult MemPoolAccept::AcceptMultipleTransactions(const std::
         return PackageMempoolAcceptResult(package_state, std::move(results));
     }
 
+    // Now that we've bounded the resulting possible ancestry count, check package for dust spends
+    if (m_pool.m_opts.require_standard) {
+        if (const auto ephemeral_violation{CheckEphemeralSpends(txns, m_pool.m_opts.dust_relay_feerate, m_pool)}) {
+            const Txid& child_txid = ephemeral_violation.value();
+            TxValidationState child_state;
+            child_state.Invalid(TxValidationResult::TX_MEMPOOL_POLICY, "missing-ephemeral-spends",
+                          strprintf("tx %s did not spend parent's ephemeral dust", child_txid.ToString()));
+            package_state.Invalid(PackageValidationResult::PCKG_TX, "unspent-dust");
+            results.emplace(child_txid, MempoolAcceptResult::Failure(child_state));
+            return PackageMempoolAcceptResult(package_state, std::move(results));
+        }
+    }
+
     for (Workspace& ws : workspaces) {
         ws.m_package_feerate = package_feerate;
         if (!PolicyScriptChecks(args, ws)) {