What is Child Pays For Parents (CPFP) In Bitcoin? (2022)

Cryptocurrency is making all its way in the modern world. Almost every second person in the world knows about cryptocurrency and crypto trading. There are many types of decentralized currency which is also known as cryptocurrency like bitcoin, Ethereum, Litecoin, etc. but Bitcoin is one of the most effective cryptocurrencies which has created its impact in the market. The bitcoin value is increasing day by day since its release. It has dominated the crypto market from the very beginning of the 2010s and is still going.

Bitcoin 1

Many people do not know about cryptocurrency but they do know about the term bitcoin and know that it is the asset that is creating a buzz in the market. Due to its popularity, the value of bitcoin has increased surprisingly and is about $48,778 (USD) at this time. The main highlight of the price increase of bitcoin is that it is decentralized and does not have any control of the center or any government on the transactions because there is a blockchain that has all the history and information of the transaction. With the increase in the investment, there is also an increase in the traffic on the blockchain and it is now demanding the crypto holders a lot of money because the miners which mine the bitcoin are charging a lot of fees to do the job. The transactions are being held in the blockchain and it is taking a lot of time to complete the transaction. If you are interested in bitcoin trading visit their official site at bitcoinfastprofit.com for more information. 

The article will tell you about the ways through which an average crypto trader or bitcoin holder can make the transaction without getting stuck in the middle of the transaction because of the blockchain traffic.

The best way to do this is the Child Pays for Parents, which is also known as CPFP.

Child Pays For Parents:

Now the question is what is the CPFP and the answer to this question is that it is a kind of way through which you can make the transaction faster by making a child payment which compensates or pay for the parent transaction and by this both the payments/ transactions can be done faster and get confirmed soon. This method can be used by any common bitcoin holder. In technical language, it is the way which is used by the sender or receiver in the transaction. This can be understood by an example like when the parents get old, they are taken care of by their child similarly in this method the child pays for the parent transaction because of the insufficient funds with the parents.

How can one get help from this method?

If the user has done any kind of transaction and it is not confirmed yet, then the receiver can use this method by creating small transactions which are linked with the main transaction.

Advantages:

The advantages of using the Child Pays for Parents are discussed below:

Make the transaction Faster

This method makes the important transactions get confirmed or done at a faster rate than usual. And it also helps people i.e. the receiver to get the payment as early as possible.

Gives the advantage to the receiver too

Various third-party platforms make the transaction fast in the pool but are linked with the sender only and the receiver can’t make it faster. It only depends upon the sender to increase the rate of the transaction but with this method, the receiver can do it too.

No tags for this post.

Leave a Comment

Your email address will not be published.

Scroll to Top