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2025-10-16
02:56
BTC Dust Limit Debate: @Excellion Urges Bitcoin Core to Remove Relay Filter — 3 Trading Implications for Fees, Mempool, and UTXO Growth

According to @Excellion, the Bitcoin dust limit is just a relay filter and Bitcoin Core should remove it to reflect actual network usage, as stated in his post on X: https://twitter.com/Excellion/status/1978656208560226566. In Bitcoin Core policy, the dust limit marks very small outputs as non-standard for relay to mitigate spam, with typical thresholds (e.g., ~546 sats for P2PKH at a 1 sat/vB min relay fee) derived from policy rules and cost assumptions, affecting what transactions propagate across the network; source: https://en.bitcoin.it/wiki/Dust and https://github.com/bitcoin/bitcoin/blob/master/doc/policy/standard_transactions.md. Any change to remove or alter this filter would require a reviewed code change through the Bitcoin Core contribution and PR process, which governs how consensus and policy modifications are evaluated and merged; source: https://github.com/bitcoin/bitcoin/blob/master/CONTRIBUTING.md. For traders, relay policy directly influences which transactions reach miners and can impact fee pressure and confirmation times when blocks are full, affecting on-chain settlement costs and timing for BTC flows; source: https://developer.bitcoin.org/devguide/transactions.html and https://github.com/bitcoin/bitcoin/blob/master/doc/policy/standard_transactions.md.

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