Cryptocurrency Q&A
What is the dust limit?
What is the dust limit?
Martina
Mon Dec 02 2024
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5 answers
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I am wondering about the dust limit. I want to know what it is exactly, as I have heard this term being used but I am not entirely sure about its meaning or implications.
5 answers
CryptoVeteran
Wed Dec 04 2024
The concept of a 'dust limit' plays a crucial role in the world of cryptocurrencies.
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IncheonBeautyBloom
Wed Dec 04 2024
It establishes a threshold for the smallest Unspent Transaction Output (UTXO) that can be efficiently extracted and divided. This mechanism is vital for maintaining the integrity of the blockchain.
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Lorenzo
Wed Dec 04 2024
By setting this boundary, the dust limit helps to safeguard against dust attacks. Dust attacks involve the creation of numerous tiny transactions that can clog the network and disrupt its functionality.
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Carolina
Wed Dec 04 2024
It's important to note that different Bitcoin address types have distinct UTXO size requirements. For instance, P2PKH addresses, which begin with the number '1', have a specific minimum UTXO size.
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Lorenzo
Tue Dec 03 2024
For P2PKH addresses, the minimum UTXO size is set at 546 satoshis. This ensures that transactions involving these addresses adhere to the necessary standards and do not contribute to the problem of dust.
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