UTXO consolidation with fake payjoins in non-cj sends when fees are low
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kristapsk commented
Long time ago I proposed idea (probably on IRC, but not sure, don't remember anymore) that when sending non-cj tx to p2wpkh address and only one input is selected, add second input, so that outside blockchain observer cannot be sure is that simple direct send or is it payjoin. Counterargument is that it makes transaction bigger and user pays more in fees. But, actually, it makes sense to create such bigger transactions when fees are low so that UTXO set of wallet is smaller and you potentially save on tx fees in high fee environments. And this looks to me as most private way to do such UTXO consolidations. Threshold could be something like 10 sat/vB.