How do priority fees (from the ComputeBudget program) prioritize transactions?

Question

If I add a higher fee to my transaction, will it helps me get a better (faster) slot/block?

Or is the priority fee only for competing with other transactions within the same slot?

Here's the example situation: My NFT sniping transaction in block 11 failed because someone managed to land their transaction in block 10. If I simply add higher fee, will it somehow helps me gets in the same or better slot than this guy?

Answer 1

Increasing your transaction fee boosts its priority, but it competes only within the same slot, not guaranteeing inclusion with others. For NFT sniping, higher fees may help, but they don't ensure the same block inclusion. Other factors matter, like the block leader's discretion. To improve chances:

1. Use a wallet with priority fee support.
2. Set a high, but not excessive, priority fee using a fee calculator.
3. Submit your transaction early.
4. Employ a reliable Solana RPC provider.

However, there's no absolute guarantee due to Solana's decentralized nature and block leader discretion.