Definition ∞ A tipless mechanism is a transaction ordering system in a blockchain where users do not explicitly include a tip or priority fee to incentivize miners or validators. Instead, transaction inclusion is determined by other factors, such as first-come, first-served or a predetermined algorithm. This design aims to create a more equitable and predictable fee market, reducing competitive bidding for block space. It simplifies the transaction submission process for users.
Context ∞ The concept of a tipless mechanism is a subject of ongoing debate in blockchain protocol design, particularly in discussions about improving fee market efficiency and fairness. News reports sometimes compare tipless models with traditional fee markets, evaluating their impact on network congestion and transaction costs. Understanding this mechanism provides insight into alternative approaches for managing block space allocation and enhancing user experience.