A mempool is a storage mechanism in a cryptocurrency node that holds information about unconfirmed transactions before they are added to the blockchain.
A mempool, short for memory pool, is an essential component of a cryptocurrency node that stores information about unconfirmed transactions. It serves as a temporary storage area for transactions that have been broadcasted to the network but have not yet been included in a block on the blockchain. The mempool acts as a waiting room where transactions wait for validation and confirmation by miners or validators before they can be added to a block.
The mempool plays a crucial role in transaction ordering and fee prioritization. When a transaction is submitted to the network, it enters the mempool and is assigned a priority based on the associated transaction fees. Miners and validators prioritize transactions with higher fees to maximize their revenue. As blocks have limited capacity, the mempool helps ensure that transactions with higher fees are included in blocks first, increasing the chances of faster confirmation.
One key distinction between the mempool and the blockchain is that the mempool contains transactions that are yet to be confirmed, while the blockchain consists of blocks that have been confirmed and added to the chain. The mempool provides a real-time view of the pending transactions waiting for inclusion in the next block.