Merge pull request #1816

b867e40 CreateNewBlock: Stick height in coinbase so we pass template sanity check (Luke Dashjr)
60755db submitblock: Check for duplicate submissions explicitly (Luke Dashjr)
bc6cb41 QA RPC tests: Add tests block block proposals (Luke Dashjr)
9765a50 Implement BIP 23 Block Proposal (Luke Dashjr)
3dcbb9b Abstract DecodeHexBlk and BIP22ValidationResult functions out of submitblock (Luke Dashjr)
132ea9b miner_tests: Disable checkpoints so they don't fail the subsidy-change test (Luke Dashjr)
df08a62 TestBlockValidity function for CBlock proposals (used by CreateNewBlock) (Luke Dashjr)
4ea1be7 CreateNewBlock and miner_tests: Also check generated template is valid by CheckBlockHeader, ContextualCheckBlockHeader, CheckBlock, and ContextualCheckBlock (Luke Dashjr)
a48f2d6 Abstract context-dependent block checking from acceptance (Luke Dashjr)

9 files changed, 391 insertions, 93 deletions

diff --git a/qa/rpc-tests/getblocktemplate.py b/qa/rpc-tests/getblocktemplate_longpoll.py
index 500662bf87..263a5f6d59 100755
--- a/qa/rpc-tests/getblocktemplate.py
+++ b/qa/rpc-tests/getblocktemplate_longpoll.py
@@ -3,8 +3,6 @@
 # Distributed under the MIT software license, see the accompanying
 # file COPYING or http://www.opensource.org/licenses/mit-license.php.
 
-# Exercise the listtransactions API
-
 from test_framework import BitcoinTestFramework
 from bitcoinrpc.authproxy import AuthServiceProxy, JSONRPCException
 from util import *
@@ -46,7 +44,7 @@ class LongpollThread(threading.Thread):
     def run(self):
         self.node.getblocktemplate({'longpollid':self.longpollid})
 
-class GetBlockTemplateTest(BitcoinTestFramework):
+class GetBlockTemplateLPTest(BitcoinTestFramework):
     '''
     Test longpolling with getblocktemplate.
     '''
@@ -90,5 +88,5 @@ class GetBlockTemplateTest(BitcoinTestFramework):
         assert(not thr.is_alive())
 
 if __name__ == '__main__':
-    GetBlockTemplateTest().main()
+    GetBlockTemplateLPTest().main()
 
diff --git a/qa/rpc-tests/getblocktemplate_proposals.py b/qa/rpc-tests/getblocktemplate_proposals.py
new file mode 100755
index 0000000000..0f7859584a
--- /dev/null
+++ b/qa/rpc-tests/getblocktemplate_proposals.py
@@ -0,0 +1,182 @@
+#!/usr/bin/env python
+# Copyright (c) 2014 The Bitcoin Core developers
+# Distributed under the MIT software license, see the accompanying
+# file COPYING or http://www.opensource.org/licenses/mit-license.php.
+
+from test_framework import BitcoinTestFramework
+from bitcoinrpc.authproxy import AuthServiceProxy, JSONRPCException
+from util import *
+
+from binascii import a2b_hex, b2a_hex
+from hashlib import sha256
+from struct import pack
+
+
+def check_array_result(object_array, to_match, expected):
+    """
+    Pass in array of JSON objects, a dictionary with key/value pairs
+    to match against, and another dictionary with expected key/value
+    pairs.
+    """
+    num_matched = 0
+    for item in object_array:
+        all_match = True
+        for key,value in to_match.items():
+            if item[key] != value:
+                all_match = False
+        if not all_match:
+            continue
+        for key,value in expected.items():
+            if item[key] != value:
+                raise AssertionError("%s : expected %s=%s"%(str(item), str(key), str(value)))
+            num_matched = num_matched+1
+    if num_matched == 0:
+        raise AssertionError("No objects matched %s"%(str(to_match)))
+
+def b2x(b):
+    return b2a_hex(b).decode('ascii')
+
+# NOTE: This does not work for signed numbers (set the high bit) or zero (use b'\0')
+def encodeUNum(n):
+    s = bytearray(b'\1')
+    while n > 127:
+        s[0] += 1
+        s.append(n % 256)
+        n //= 256
+    s.append(n)
+    return bytes(s)
+
+def varlenEncode(n):
+    if n < 0xfd:
+        return pack('<B', n)
+    if n <= 0xffff:
+        return b'\xfd' + pack('<H', n)
+    if n <= 0xffffffff:
+        return b'\xfe' + pack('<L', n)
+    return b'\xff' + pack('<Q', n)
+
+def dblsha(b):
+    return sha256(sha256(b).digest()).digest()
+
+def genmrklroot(leaflist):
+    cur = leaflist
+    while len(cur) > 1:
+        n = []
+        if len(cur) & 1:
+            cur.append(cur[-1])
+        for i in range(0, len(cur), 2):
+            n.append(dblsha(cur[i] + cur[i+1]))
+        cur = n
+    return cur[0]
+
+def template_to_bytes(tmpl, txlist):
+    blkver = pack('<L', tmpl['version'])
+    mrklroot = genmrklroot(list(dblsha(a) for a in txlist))
+    timestamp = pack('<L', tmpl['curtime'])
+    nonce = b'\0\0\0\0'
+    blk = blkver + a2b_hex(tmpl['previousblockhash'])[::-1] + mrklroot + timestamp + a2b_hex(tmpl['bits'])[::-1] + nonce
+    blk += varlenEncode(len(txlist))
+    for tx in txlist:
+        blk += tx
+    return blk
+
+def template_to_hex(tmpl, txlist):
+    return b2x(template_to_bytes(tmpl, txlist))
+
+def assert_template(node, tmpl, txlist, expect):
+    rsp = node.getblocktemplate({'data':template_to_hex(tmpl, txlist),'mode':'proposal'})
+    if rsp != expect:
+        raise AssertionError('unexpected: %s' % (rsp,))
+
+class GetBlockTemplateProposalTest(BitcoinTestFramework):
+    '''
+    Test block proposals with getblocktemplate.
+    '''
+
+    def run_test(self):
+        node = self.nodes[0]
+        tmpl = node.getblocktemplate()
+        if 'coinbasetxn' not in tmpl:
+            rawcoinbase = encodeUNum(tmpl['height'])
+            rawcoinbase += b'\x01-'
+            hexcoinbase = b2x(rawcoinbase)
+            hexoutval = b2x(pack('<Q', tmpl['coinbasevalue']))
+            tmpl['coinbasetxn'] = {'data': '01000000' + '01' + '0000000000000000000000000000000000000000000000000000000000000000ffffffff' + ('%02x' % (len(rawcoinbase),)) + hexcoinbase + 'fffffffe' + '01' + hexoutval + '00' + '00000000'}
+        txlist = list(bytearray(a2b_hex(a['data'])) for a in (tmpl['coinbasetxn'],) + tuple(tmpl['transactions']))
+
+        # Test 0: Capability advertised
+        assert('proposal' in tmpl['capabilities'])
+
+        # NOTE: This test currently FAILS (regtest mode doesn't enforce block height in coinbase)
+        ## Test 1: Bad height in coinbase
+        #txlist[0][4+1+36+1+1] += 1
+        #assert_template(node, tmpl, txlist, 'FIXME')
+        #txlist[0][4+1+36+1+1] -= 1
+
+        # Test 2: Bad input hash for gen tx
+        txlist[0][4+1] += 1
+        assert_template(node, tmpl, txlist, 'bad-cb-missing')
+        txlist[0][4+1] -= 1
+
+        # Test 3: Truncated final tx
+        lastbyte = txlist[-1].pop()
+        try:
+            assert_template(node, tmpl, txlist, 'n/a')
+        except JSONRPCException:
+            pass  # Expected
+        txlist[-1].append(lastbyte)
+
+        # Test 4: Add an invalid tx to the end (duplicate of gen tx)
+        txlist.append(txlist[0])
+        assert_template(node, tmpl, txlist, 'bad-txns-duplicate')
+        txlist.pop()
+
+        # Test 5: Add an invalid tx to the end (non-duplicate)
+        txlist.append(bytearray(txlist[0]))
+        txlist[-1][4+1] = b'\xff'
+        assert_template(node, tmpl, txlist, 'bad-txns-inputs-missingorspent')
+        txlist.pop()
+
+        # Test 6: Future tx lock time
+        txlist[0][-4:] = b'\xff\xff\xff\xff'
+        assert_template(node, tmpl, txlist, 'bad-txns-nonfinal')
+        txlist[0][-4:] = b'\0\0\0\0'
+
+        # Test 7: Bad tx count
+        txlist.append(b'')
+        try:
+            assert_template(node, tmpl, txlist, 'n/a')
+        except JSONRPCException:
+            pass  # Expected
+        txlist.pop()
+
+        # Test 8: Bad bits
+        realbits = tmpl['bits']
+        tmpl['bits'] = '1c0000ff'  # impossible in the real world
+        assert_template(node, tmpl, txlist, 'bad-diffbits')
+        tmpl['bits'] = realbits
+
+        # Test 9: Bad merkle root
+        rawtmpl = template_to_bytes(tmpl, txlist)
+        rawtmpl[4+32] = (rawtmpl[4+32] + 1) % 0x100
+        rsp = node.getblocktemplate({'data':b2x(rawtmpl),'mode':'proposal'})
+        if rsp != 'bad-txnmrklroot':
+            raise AssertionError('unexpected: %s' % (rsp,))
+
+        # Test 10: Bad timestamps
+        realtime = tmpl['curtime']
+        tmpl['curtime'] = 0x7fffffff
+        assert_template(node, tmpl, txlist, 'time-too-new')
+        tmpl['curtime'] = 0
+        assert_template(node, tmpl, txlist, 'time-too-old')
+        tmpl['curtime'] = realtime
+
+        # Test 11: Valid block
+        assert_template(node, tmpl, txlist, None)
+
+        # Test 12: Orphan block
+        tmpl['previousblockhash'] = 'ff00' * 16
+        assert_template(node, tmpl, txlist, 'inconclusive-not-best-prevblk')
+
+if __name__ == '__main__':
+    GetBlockTemplateProposalTest().main()
diff --git a/src/core_io.h b/src/core_io.h
index b5ed03b8c8..aba1928a36 100644
--- a/src/core_io.h
+++ b/src/core_io.h
@@ -8,6 +8,7 @@
 #include <string>
 #include <vector>
 
+class CBlock;
 class CScript;
 class CTransaction;
 class uint256;
@@ -16,6 +17,7 @@ class UniValue;
 // core_read.cpp
 extern CScript ParseScript(std::string s);
 extern bool DecodeHexTx(CTransaction& tx, const std::string& strHexTx);
+extern bool DecodeHexBlk(CBlock&, const std::string& strHexBlk);
 extern uint256 ParseHashUV(const UniValue& v, const std::string& strName);
 extern std::vector<unsigned char> ParseHexUV(const UniValue& v, const std::string& strName);
 
diff --git a/src/core_read.cpp b/src/core_read.cpp
index d39bc9a780..42e2f8d200 100644
--- a/src/core_read.cpp
+++ b/src/core_read.cpp
@@ -4,6 +4,7 @@
 
 #include "core_io.h"
 
+#include "core/block.h"
 #include "core/transaction.h"
 #include "script/script.h"
 #include "serialize.h"
@@ -108,6 +109,23 @@ bool DecodeHexTx(CTransaction& tx, const std::string& strHexTx)
     return true;
 }
 
+bool DecodeHexBlk(CBlock& block, const std::string& strHexBlk)
+{
+    if (!IsHex(strHexBlk))
+        return false;
+
+    std::vector<unsigned char> blockData(ParseHex(strHexBlk));
+    CDataStream ssBlock(blockData, SER_NETWORK, PROTOCOL_VERSION);
+    try {
+        ssBlock >> block;
+    }
+    catch (const std::exception &) {
+        return false;
+    }
+
+    return true;
+}
+
 uint256 ParseHashUV(const UniValue& v, const string& strName)
 {
     string strHex;
diff --git a/src/main.cpp b/src/main.cpp
index a3fe53b0e4..02062c3935 100644
--- a/src/main.cpp
+++ b/src/main.cpp
@@ -1593,7 +1593,7 @@ static int64_t nTimeIndex = 0;
 static int64_t nTimeCallbacks = 0;
 static int64_t nTimeTotal = 0;
 
-bool ConnectBlock(CBlock& block, CValidationState& state, CBlockIndex* pindex, CCoinsViewCache& view, bool fJustCheck)
+bool ConnectBlock(const CBlock& block, CValidationState& state, CBlockIndex* pindex, CCoinsViewCache& view, bool fJustCheck)
 {
     AssertLockHeld(cs_main);
     // Check it again in case a previous version let a bad block in
@@ -2336,6 +2336,73 @@ bool CheckBlock(const CBlock& block, CValidationState& state, bool fCheckPOW, bo
     return true;
 }
 
+bool ContextualCheckBlockHeader(const CBlockHeader& block, CValidationState& state, CBlockIndex * const pindexPrev)
+{
+    uint256 hash = block.GetHash();
+    if (hash == Params().HashGenesisBlock())
+        return true;
+
+    assert(pindexPrev);
+
+    int nHeight = pindexPrev->nHeight+1;
+
+    // Check proof of work
+    if ((!Params().SkipProofOfWorkCheck()) &&
+       (block.nBits != GetNextWorkRequired(pindexPrev, &block)))
+        return state.DoS(100, error("%s : incorrect proof of work", __func__),
+                         REJECT_INVALID, "bad-diffbits");
+
+    // Check timestamp against prev
+    if (block.GetBlockTime() <= pindexPrev->GetMedianTimePast())
+        return state.Invalid(error("%s : block's timestamp is too early", __func__),
+                             REJECT_INVALID, "time-too-old");
+
+    // Check that the block chain matches the known block chain up to a checkpoint
+    if (!Checkpoints::CheckBlock(nHeight, hash))
+        return state.DoS(100, error("%s : rejected by checkpoint lock-in at %d", __func__, nHeight),
+                         REJECT_CHECKPOINT, "checkpoint mismatch");
+
+    // Don't accept any forks from the main chain prior to last checkpoint
+    CBlockIndex* pcheckpoint = Checkpoints::GetLastCheckpoint();
+    if (pcheckpoint && nHeight < pcheckpoint->nHeight)
+        return state.DoS(100, error("%s : forked chain older than last checkpoint (height %d)", __func__, nHeight));
+
+    // Reject block.nVersion=1 blocks when 95% (75% on testnet) of the network has upgraded:
+    if (block.nVersion < 2 && 
+        CBlockIndex::IsSuperMajority(2, pindexPrev, Params().RejectBlockOutdatedMajority()))
+    {
+        return state.Invalid(error("%s : rejected nVersion=1 block", __func__),
+                             REJECT_OBSOLETE, "bad-version");
+    }
+
+    return true;
+}
+
+bool ContextualCheckBlock(const CBlock& block, CValidationState& state, CBlockIndex * const pindexPrev)
+{
+    const int nHeight = pindexPrev == NULL ? 0 : pindexPrev->nHeight + 1;
+
+    // Check that all transactions are finalized
+    BOOST_FOREACH(const CTransaction& tx, block.vtx)
+        if (!IsFinalTx(tx, nHeight, block.GetBlockTime())) {
+            return state.DoS(10, error("%s : contains a non-final transaction", __func__), REJECT_INVALID, "bad-txns-nonfinal");
+        }
+
+    // Enforce block.nVersion=2 rule that the coinbase starts with serialized block height
+    // if 750 of the last 1,000 blocks are version 2 or greater (51/100 if testnet):
+    if (block.nVersion >= 2 && 
+        CBlockIndex::IsSuperMajority(2, pindexPrev, Params().EnforceBlockUpgradeMajority()))
+    {
+        CScript expect = CScript() << nHeight;
+        if (block.vtx[0].vin[0].scriptSig.size() < expect.size() ||
+            !std::equal(expect.begin(), expect.end(), block.vtx[0].vin[0].scriptSig.begin())) {
+            return state.DoS(100, error("%s : block height mismatch in coinbase", __func__), REJECT_INVALID, "bad-cb-height");
+        }
+    }
+
+    return true;
+}
+
 bool AcceptBlockHeader(const CBlockHeader& block, CValidationState& state, CBlockIndex** ppindex)
 {
     AssertLockHeld(cs_main);
@@ -2358,44 +2425,16 @@ bool AcceptBlockHeader(const CBlockHeader& block, CValidationState& state, CBloc
 
     // Get prev block index
     CBlockIndex* pindexPrev = NULL;
-    int nHeight = 0;
     if (hash != Params().HashGenesisBlock()) {
         BlockMap::iterator mi = mapBlockIndex.find(block.hashPrevBlock);
         if (mi == mapBlockIndex.end())
             return state.DoS(10, error("%s : prev block not found", __func__), 0, "bad-prevblk");
         pindexPrev = (*mi).second;
-        nHeight = pindexPrev->nHeight+1;
-
-        // Check proof of work
-        if ((!Params().SkipProofOfWorkCheck()) &&
-           (block.nBits != GetNextWorkRequired(pindexPrev, &block)))
-            return state.DoS(100, error("%s : incorrect proof of work", __func__),
-                             REJECT_INVALID, "bad-diffbits");
-
-        // Check timestamp against prev
-        if (block.GetBlockTime() <= pindexPrev->GetMedianTimePast())
-            return state.Invalid(error("%s : block's timestamp is too early", __func__),
-                                 REJECT_INVALID, "time-too-old");
-
-        // Check that the block chain matches the known block chain up to a checkpoint
-        if (!Checkpoints::CheckBlock(nHeight, hash))
-            return state.DoS(100, error("%s : rejected by checkpoint lock-in at %d", __func__, nHeight),
-                             REJECT_CHECKPOINT, "checkpoint mismatch");
-
-        // Don't accept any forks from the main chain prior to last checkpoint
-        CBlockIndex* pcheckpoint = Checkpoints::GetLastCheckpoint();
-        if (pcheckpoint && nHeight < pcheckpoint->nHeight)
-            return state.DoS(100, error("%s : forked chain older than last checkpoint (height %d)", __func__, nHeight));
-
-        // Reject block.nVersion=1 blocks when 95% (75% on testnet) of the network has upgraded:
-        if (block.nVersion < 2 && 
-            CBlockIndex::IsSuperMajority(2, pindexPrev, Params().RejectBlockOutdatedMajority()))
-        {
-            return state.Invalid(error("%s : rejected nVersion=1 block", __func__),
-                                 REJECT_OBSOLETE, "bad-version");
-        }
     }
 
+    if (!ContextualCheckBlockHeader(block, state, pindexPrev))
+        return false;
+
     if (pindex == NULL)
         pindex = AddToBlockIndex(block);
 
@@ -2420,7 +2459,7 @@ bool AcceptBlock(CBlock& block, CValidationState& state, CBlockIndex** ppindex,
         return true;
     }
 
-    if (!CheckBlock(block, state)) {
+    if ((!CheckBlock(block, state)) || !ContextualCheckBlock(block, state, pindex->pprev)) {
         if (state.IsInvalid() && !state.CorruptionPossible()) {
             pindex->nStatus |= BLOCK_FAILED_VALID;
         }
@@ -2429,27 +2468,6 @@ bool AcceptBlock(CBlock& block, CValidationState& state, CBlockIndex** ppindex,
 
     int nHeight = pindex->nHeight;
 
-    // Check that all transactions are finalized
-    BOOST_FOREACH(const CTransaction& tx, block.vtx)
-        if (!IsFinalTx(tx, nHeight, block.GetBlockTime())) {
-            pindex->nStatus |= BLOCK_FAILED_VALID;
-            return state.DoS(10, error("AcceptBlock() : contains a non-final transaction"),
-                             REJECT_INVALID, "bad-txns-nonfinal");
-        }
-
-    // Enforce block.nVersion=2 rule that the coinbase starts with serialized block height
-    // if 750 of the last 1,000 blocks are version 2 or greater (51/100 if testnet):
-    if (block.nVersion >= 2 && 
-        CBlockIndex::IsSuperMajority(2, pindex->pprev, Params().EnforceBlockUpgradeMajority()))
-    {
-        CScript expect = CScript() << nHeight;
-        if (block.vtx[0].vin[0].scriptSig.size() < expect.size() ||
-            !std::equal(expect.begin(), expect.end(), block.vtx[0].vin[0].scriptSig.begin())) {
-            pindex->nStatus |= BLOCK_FAILED_VALID;
-            return state.DoS(100, error("AcceptBlock() : block height mismatch in coinbase"), REJECT_INVALID, "bad-cb-height");
-        }
-    }
-
     // Write block to history file
     try {
         unsigned int nBlockSize = ::GetSerializeSize(block, SER_DISK, CLIENT_VERSION);
@@ -2560,6 +2578,30 @@ bool ProcessNewBlock(CValidationState &state, CNode* pfrom, CBlock* pblock, CDis
     return true;
 }
 
+bool TestBlockValidity(CValidationState &state, const CBlock& block, CBlockIndex * const pindexPrev, bool fCheckPOW, bool fCheckMerkleRoot)
+{
+    AssertLockHeld(cs_main);
+    assert(pindexPrev == chainActive.Tip());
+
+    CCoinsViewCache viewNew(pcoinsTip);
+    CBlockIndex indexDummy(block);
+    indexDummy.pprev = pindexPrev;
+    indexDummy.nHeight = pindexPrev->nHeight + 1;
+
+    // NOTE: CheckBlockHeader is called by CheckBlock
+    if (!ContextualCheckBlockHeader(block, state, pindexPrev))
+        return false;
+    if (!CheckBlock(block, state, fCheckPOW, fCheckMerkleRoot))
+        return false;
+    if (!ContextualCheckBlock(block, state, pindexPrev))
+        return false;
+    if (!ConnectBlock(block, state, &indexDummy, viewNew, true))
+        return false;
+    assert(state.IsValid());
+
+    return true;
+}
+
 
 
 
diff --git a/src/main.h b/src/main.h
index 1bb0919817..b49f0a06eb 100644
--- a/src/main.h
+++ b/src/main.h
@@ -457,12 +457,19 @@ bool ReadBlockFromDisk(CBlock& block, const CBlockIndex* pindex);
 bool DisconnectBlock(CBlock& block, CValidationState& state, CBlockIndex* pindex, CCoinsViewCache& coins, bool* pfClean = NULL);
 
 // Apply the effects of this block (with given index) on the UTXO set represented by coins
-bool ConnectBlock(CBlock& block, CValidationState& state, CBlockIndex* pindex, CCoinsViewCache& coins, bool fJustCheck = false);
+bool ConnectBlock(const CBlock& block, CValidationState& state, CBlockIndex* pindex, CCoinsViewCache& coins, bool fJustCheck = false);
 
 // Context-independent validity checks
 bool CheckBlockHeader(const CBlockHeader& block, CValidationState& state, bool fCheckPOW = true);
 bool CheckBlock(const CBlock& block, CValidationState& state, bool fCheckPOW = true, bool fCheckMerkleRoot = true);
 
+// Context-dependent validity checks
+bool ContextualCheckBlockHeader(const CBlockHeader& block, CValidationState& state, CBlockIndex *pindexPrev);
+bool ContextualCheckBlock(const CBlock& block, CValidationState& state, CBlockIndex *pindexPrev);
+
+// Check a block is completely valid from start to finish (only works on top of our current best block, with cs_main held)
+bool TestBlockValidity(CValidationState &state, const CBlock& block, CBlockIndex *pindexPrev, bool fCheckPOW = true, bool fCheckMerkleRoot = true);
+
 // Store block on disk
 // if dbp is provided, the file is known to already reside on disk
 bool AcceptBlock(CBlock& block, CValidationState& state, CBlockIndex **pindex, CDiskBlockPos* dbp = NULL);
diff --git a/src/miner.cpp b/src/miner.cpp
index 7c3f885410..660173f35b 100644
--- a/src/miner.cpp
+++ b/src/miner.cpp
@@ -134,6 +134,7 @@ CBlockTemplate* CreateNewBlock(const CScript& scriptPubKeyIn)
     {
         LOCK2(cs_main, mempool.cs);
         CBlockIndex* pindexPrev = chainActive.Tip();
+        const int nHeight = pindexPrev->nHeight + 1;
         CCoinsViewCache view(pcoinsTip);
 
         // Priority order to process transactions
@@ -148,7 +149,7 @@ CBlockTemplate* CreateNewBlock(const CScript& scriptPubKeyIn)
              mi != mempool.mapTx.end(); ++mi)
         {
             const CTransaction& tx = mi->second.GetTx();
-            if (tx.IsCoinBase() || !IsFinalTx(tx, pindexPrev->nHeight + 1))
+            if (tx.IsCoinBase() || !IsFinalTx(tx, nHeight))
                 continue;
 
             COrphan* porphan = NULL;
@@ -191,7 +192,7 @@ CBlockTemplate* CreateNewBlock(const CScript& scriptPubKeyIn)
                 CAmount nValueIn = coins->vout[txin.prevout.n].nValue;
                 nTotalIn += nValueIn;
 
-                int nConf = pindexPrev->nHeight - coins->nHeight + 1;
+                int nConf = nHeight - coins->nHeight;
 
                 dPriority += (double)nValueIn * nConf;
             }
@@ -279,7 +280,7 @@ CBlockTemplate* CreateNewBlock(const CScript& scriptPubKeyIn)
                 continue;
 
             CTxUndo txundo;
-            UpdateCoins(tx, state, view, txundo, pindexPrev->nHeight+1);
+            UpdateCoins(tx, state, view, txundo, nHeight);
 
             // Added
             pblock->vtx.push_back(tx);
@@ -319,8 +320,8 @@ CBlockTemplate* CreateNewBlock(const CScript& scriptPubKeyIn)
         LogPrintf("CreateNewBlock(): total size %u\n", nBlockSize);
 
         // Compute final coinbase transaction.
-        txNew.vout[0].nValue = GetBlockValue(pindexPrev->nHeight+1, nFees);
-        txNew.vin[0].scriptSig = CScript() << OP_0 << OP_0;
+        txNew.vout[0].nValue = GetBlockValue(nHeight, nFees);
+        txNew.vin[0].scriptSig = CScript() << nHeight << OP_0;
         pblock->vtx[0] = txNew;
         pblocktemplate->vTxFees[0] = -nFees;
 
@@ -331,13 +332,9 @@ CBlockTemplate* CreateNewBlock(const CScript& scriptPubKeyIn)
         pblock->nNonce         = 0;
         pblocktemplate->vTxSigOps[0] = GetLegacySigOpCount(pblock->vtx[0]);
 
-        CBlockIndex indexDummy(*pblock);
-        indexDummy.pprev = pindexPrev;
-        indexDummy.nHeight = pindexPrev->nHeight + 1;
-        CCoinsViewCache viewNew(pcoinsTip);
         CValidationState state;
-        if (!ConnectBlock(*pblock, state, &indexDummy, viewNew, true))
-            throw std::runtime_error("CreateNewBlock() : ConnectBlock failed");
+        if (!TestBlockValidity(state, *pblock, pindexPrev, false, false))
+            throw std::runtime_error("CreateNewBlock() : TestBlockValidity failed");
     }
 
     return pblocktemplate.release();
diff --git a/src/rpcmining.cpp b/src/rpcmining.cpp
index 81120ba981..837a7593b6 100644
--- a/src/rpcmining.cpp
+++ b/src/rpcmining.cpp
@@ -299,6 +299,25 @@ Value prioritisetransaction(const Array& params, bool fHelp)
 }
 
 
+// NOTE: Assumes a conclusive result; if result is inconclusive, it must be handled by caller
+static Value BIP22ValidationResult(const CValidationState& state)
+{
+    if (state.IsValid())
+        return Value::null;
+
+    std::string strRejectReason = state.GetRejectReason();
+    if (state.IsError())
+        throw JSONRPCError(RPC_VERIFY_ERROR, strRejectReason);
+    if (state.IsInvalid())
+    {
+        if (strRejectReason.empty())
+            return "rejected";
+        return strRejectReason;
+    }
+    // Should be impossible
+    return "valid?";
+}
+
 Value getblocktemplate(const Array& params, bool fHelp)
 {
     if (fHelp || params.size() > 1)
@@ -376,6 +395,36 @@ Value getblocktemplate(const Array& params, bool fHelp)
         else
             throw JSONRPCError(RPC_INVALID_PARAMETER, "Invalid mode");
         lpval = find_value(oparam, "longpollid");
+
+        if (strMode == "proposal")
+        {
+            const Value& dataval = find_value(oparam, "data");
+            if (dataval.type() != str_type)
+                throw JSONRPCError(RPC_TYPE_ERROR, "Missing data String key for proposal");
+
+            CBlock block;
+            if (!DecodeHexBlk(block, dataval.get_str()))
+                throw JSONRPCError(RPC_DESERIALIZATION_ERROR, "Block decode failed");
+
+            uint256 hash = block.GetHash();
+            BlockMap::iterator mi = mapBlockIndex.find(hash);
+            if (mi != mapBlockIndex.end()) {
+                CBlockIndex *pindex = mi->second;
+                if (pindex->IsValid(BLOCK_VALID_SCRIPTS))
+                    return "duplicate";
+                if (pindex->nStatus & BLOCK_FAILED_MASK)
+                    return "duplicate-invalid";
+                return "duplicate-inconclusive";
+            }
+
+            CBlockIndex* const pindexPrev = chainActive.Tip();
+            // TestBlockValidity only supports blocks built on the current Tip
+            if (block.hashPrevBlock != pindexPrev->GetBlockHash())
+                return "inconclusive-not-best-prevblk";
+            CValidationState state;
+            TestBlockValidity(state, block, pindexPrev, false, true);
+            return BIP22ValidationResult(state);
+        }
     }
 
     if (strMode != "template")
@@ -478,6 +527,8 @@ Value getblocktemplate(const Array& params, bool fHelp)
     UpdateTime(pblock, pindexPrev);
     pblock->nNonce = 0;
 
+    static const Array aCaps = boost::assign::list_of("proposal");
+
     Array transactions;
     map<uint256, int64_t> setTxIndex;
     int i = 0;
@@ -524,6 +575,7 @@ Value getblocktemplate(const Array& params, bool fHelp)
     }
 
     Object result;
+    result.push_back(Pair("capabilities", aCaps));
     result.push_back(Pair("version", pblock->nVersion));
     result.push_back(Pair("previousblockhash", pblock->hashPrevBlock.GetHex()));
     result.push_back(Pair("transactions", transactions));
@@ -582,41 +634,39 @@ Value submitblock(const Array& params, bool fHelp)
             + HelpExampleRpc("submitblock", "\"mydata\"")
         );
 
-    vector<unsigned char> blockData(ParseHex(params[0].get_str()));
-    CDataStream ssBlock(blockData, SER_NETWORK, PROTOCOL_VERSION);
-    CBlock pblock;
-    try {
-        ssBlock >> pblock;
-    }
-    catch (const std::exception &) {
+    CBlock block;
+    if (!DecodeHexBlk(block, params[0].get_str()))
         throw JSONRPCError(RPC_DESERIALIZATION_ERROR, "Block decode failed");
+
+    uint256 hash = block.GetHash();
+    BlockMap::iterator mi = mapBlockIndex.find(hash);
+    if (mi != mapBlockIndex.end()) {
+        CBlockIndex *pindex = mi->second;
+        if (pindex->IsValid(BLOCK_VALID_SCRIPTS))
+            return "duplicate";
+        if (pindex->nStatus & BLOCK_FAILED_MASK)
+            return "duplicate-invalid";
+        // Otherwise, we might only have the header - process the block before returning
     }
 
     CValidationState state;
-    submitblock_StateCatcher sc(pblock.GetHash());
+    submitblock_StateCatcher sc(block.GetHash());
     RegisterValidationInterface(&sc);
-    bool fAccepted = ProcessNewBlock(state, NULL, &pblock);
+    bool fAccepted = ProcessNewBlock(state, NULL, &block);
     UnregisterValidationInterface(&sc);
+    if (mi != mapBlockIndex.end())
+    {
+        if (fAccepted && !sc.found)
+            return "duplicate-inconclusive";
+        return "duplicate";
+    }
     if (fAccepted)
     {
         if (!sc.found)
             return "inconclusive";
         state = sc.state;
     }
-    if (state.IsError())
-    {
-        std::string strRejectReason = state.GetRejectReason();
-        throw JSONRPCError(RPC_VERIFY_ERROR, strRejectReason);
-    }
-    if (state.IsInvalid())
-    {
-        std::string strRejectReason = state.GetRejectReason();
-        if (strRejectReason.empty())
-            return "rejected";
-        return strRejectReason;
-    }
-
-    return Value::null;
+    return BIP22ValidationResult(state);
 }
 
 Value estimatefee(const Array& params, bool fHelp)
diff --git a/src/test/miner_tests.cpp b/src/test/miner_tests.cpp
index 9a31bdf5fd..53c2e7b261 100644
--- a/src/test/miner_tests.cpp
+++ b/src/test/miner_tests.cpp
@@ -57,6 +57,7 @@ BOOST_AUTO_TEST_CASE(CreateNewBlock_validity)
     uint256 hash;
 
     LOCK(cs_main);
+    Checkpoints::fEnabled = false;
 
     // Simple block creation, nothing special yet:
     BOOST_CHECK(pblocktemplate = CreateNewBlock(scriptPubKey));
@@ -259,6 +260,7 @@ BOOST_AUTO_TEST_CASE(CreateNewBlock_validity)
     BOOST_FOREACH(CTransaction *tx, txFirst)
         delete tx;
 
+    Checkpoints::fEnabled = true;
 }
 
 BOOST_AUTO_TEST_SUITE_END()