Bitcoin’s Biggest THREAT Is Coming From Within | Is BIP-110 the Breaking Point?

[00:00:00]Bitcoin may change forever in just 25 days. And the threat isn't coming from the US government, China, a 51% attack, or quantum [music] computers. It's coming from inside the Bitcoin community itself. There are two camps of Bitcoiners fighting about BIP 110, the monetary maximalist and the consensus purist. [music] And as a result, Bitcoin might split into two chains. A fight that was happening in the background has suddenly exploded and come to the main stage. Everyone has an opinion, even Michael Sailor, who stayed silent on [music] Bitcoin Core and Bitcoin development conversations thus far. He called it the Bitcoin Latrogenic proposal, hinting at the fact that we might be hurting something that's working fine [music] as it is. This show is called Bitcoin simply. And so my goal is to highlight some highlevel points and point you to resources so you can dive deeper [clears throat] on the topic. Hopefully by the end of the video you'll understand why block 961,632 matters so much to the future of Bitcoin. Why a number so small as6% can still flip the whole board and why this is already happened to Bitcoin before and it's going to make it stronger. This is Dante Cook of Bitcoin simply. Let's go.

[00:01:11][music] I don't want to put words in your mouth, but you said something along the lines of like you feel like BIP 110 is doomed to fail basically or like you don't think it's going to actually work. Why is that?

[00:01:23]>> Well, it doesn't have consensus. So there are a lot of comparisons to um the block size wars and uh activation of SegWit, but there was major consensus that SegWit was the path forward for the network to fix the malleability bug and to enable lightning. And it was just a few people blocking it for financial gain, personal gain, ASIC boost. And it was really more about the activation mechanism and activation timeline over the change itself. Whereas 110 and everything it does not have consensus especially amongst technical uh development experts you know people that actually work on the software and even outside of that there are a lot a lot of ordinary people using Bitcoin that don't agree with it either. So it's a very small group of people that really want to push this forward and they can be very aggressive and nasty. So it's not a good combination for building consensus and that is exactly what you need to do to get change in Bitcoin. But all of the technical arguments aside, I go back to you should not be forced to need to worry about something urgently for Bitcoin. Like that's just not the case right now. 110 is popular. It's fashionable. people are rallying. A small group of people people are rallying behind it. And I'll get blasted for everything I've said here because, you know, if you're not on their side, you're they're enemies. Before we go any further into BIP 110, what it is, these fights that are happening online, that was a commentary from an interview from Samson Mau, who's fighting publicly with people like Luke Dash Jr., Bitcoin Mechanic, Matthew Crowder, and others who were influential in Bitcoin circles.

[00:03:11]The drama surrounding this and why so many people are coming out vocally is that in just 25 days roughly around block 961,632, there could be a signal to introduce a Bitcoin improvement proposal 110. And this all arose from some things that happened in October of 2025 when Bitcoin core developers introduced a new version of Bitcoin core version 30 where the operturn data field that was capped at 83 bytes for over a decade is suddenly raised to 100,000. A few months ago, nobody deep in Bitcoin even knew what an OP return was. They thought it was just millennials talking about their enemies.

[00:03:47]The new word op. That's my op. They had no idea what a freaking OP return was.

[00:03:52]But now it's front and center because people are now starting to look at what's actually happening on chain and what's impacting nodes. Images, tokens, files, things that are not necessarily money are being stored on the Bitcoin blockchain forever. And this begs the question, wasn't Bitcoin designed as a protocol to be currency, to be money, not a file storage system? And there's some that fall in the camp of Bitcoin's natural fees and game theory will do what it can to the best extent that it can to limit spam by using fees. Some believe that this is contrary in attack to what Bitcoin's nature actually is.

[00:04:30]And so we need to introduce a protocol, a Bitcoin improvement proposal, BIP 110, that would allow a user activated softwork to signal to the network that we do not want these images, files, tokens, or anything else on the Bitcoin blockchain that is specifically supposed to be used for money. And there's an undercurrent going underneath of this entire conversation. Bitcoin core developers used to be people that used to work on Bitcoin in their spare time on the weekends at their house to contribute to Bitcoin. But now a lot of the Bitcoin core developers are backed and their salaries are paid and provided for by large corporations that have incentives and interests that do not align with the Bitcoin node operators and runners who want to keep Bitcoin as money. But it begs the question, is Bitcoin just a protocol to transmit currency or potential currency Satoshi's or is it a internet protocol? Is it a network? Before we go any further, let's thank our sponsors. Let the leader in Bitcoin back loans. If you don't want to give up your Bitcoin or sell your Bitcoin and have a capital gain or a capital loss, well, you can borrow against it with none of the effects. You post Bitcoin to the Letin platform and they give you up to 50% of the fiat value of that in less than 6 hours. No capital gains at half the rate that you could have for a credit card. No credit checks and you can pay it off and repay anytime. They've issued over $10 billion worth of loans to tens of thousands of customers and never lost a single cent or satoshi of anyone's money. Work with letting don't sell your Bitcoin. There's a large camp of people that are looking at the core v30 and say that there didn't need to be consensus or a broad agreement amongst the Bitcoin network for core v30 to be dropped. And so acting independently there have been a group of people who have introduced another fork or a different software implementation of Bitcoin called Bitcoin KNS. And these folks generally are the proponents of BIP 110 which is a one-year soft fork that caps the data field protects the UTXO set to be primarily money monetarily focused and it expires after 12 months. It doesn't need Coror's blessing. Any node that wants to enforce it can. BIP 110 needs 50% of miners to activate. not the 95% that you saw with SegWit or Tap Routt in the past. This mandatory signaling can kick in at block 961,632 with no voting required. So on the side of proponents for BIP 110, my friend George Bodin does a great job of explaining BIP 110 and the perspective of the monetary maximalist and what it means to have nodes who can still control the network and not feel like the corporate miners and overlords are taking over. Hey kids, today I want to address something I've been studying for quite a while. BIP 110. First off, my premise where I'm coming from is that Bitcoin is money. It is peer-to-peer electronic cash. And JPEGs of monkeys and pixelated dicks have no place on Bitcoin's blockchain. And that core should have been fighting this battle for node runners, making it harder and more costly to use the blockchain for non-monetary data. In other words, creating friction and cost to spammers.

[00:07:35]BIP 110 tightens the rules, limits script pub keys to 33 bytes, caps op return at 83 bytes, bans long contiguous data, and it removes op if and tap routt scripts.

[00:07:49]Again, my node is not a dropbox for memes or NFTts that force node runners to maintain for eternity at a cost to future generations who want to spin up a full node. Remember, in Bitcoin, nodes dictate the rules, not miners. Miners produce blocks. If those blocks violate node consensus, they're rejected as invalid. I was on the fence about BIP 110. My concerns revolved around the initial proposal. I think it was called it was called 444 and then it morphed into RDTS.

[00:08:25]And I wanted to study the author of the Dotham M. and I wanted to see how he handled criticism and if there was a willingness to listen and change the BIP. I wanted to know more about the BIP itself and whether it could work. I also wanted to know how it would run in tests. BIP 110 was recently run using mainnet mainet data about 5 million transactions. 5 million. It filtered 40% of non-monetary transactions.

[00:08:51]How many legitimate transactions did it block? Zero.

[00:08:56]Zero. It worked with lightning coin joins and multisig. I now support bit 110 fully. I'm running it on my node.

[00:09:04]I'm not going to stop running it ever.

[00:09:06]It's just there permanent just like knots. And bit 110 is already winning.

[00:09:11]Over 1,000 nodes are enforcing it more than during the SegWit activation.

[00:09:16][snorts] SegWit activation. Bit 148 was also a UASF user activated software just like bit 110. Bit 148 forces segwit activation despite opposition from big miners exchanges some members of core remember nodes hold the power not the miners hardcore maxis like me were an intolerant minority and we're flexing our muscles here I don't believe this will be a chain split exchanges and miners will adapt because resisting means losing out bit 110 grandfather's old transaction so no one's funds get locked out and let me ask you this why would anyone fight to keep dust transactions and spam in blocks? Did you know that a serious mining operation has to keep the entire blockchain in RAM, the fastest RAM they can get in order to be competitive? This is a cost now and it's going to be skyrocketing more and more as they compete with AI. There's no logical reason to fight for spam or dick buck JPEGs kept on eternity on the black blockchain. When I say I'm running BIP 110 on a node, I'm signaling with my node that I support this UASF. Every other node running it is doing the same thing. And we don't need that many nodes as an intolerant minority to win. If only a small percentage of nodes enforce BIP 110, the network tips in their favor because non-compliant blocks get ignored. Miners don't have the incentive to risk orphan blocks. If miners and exchanges signal early, this will be successful very quickly. It will take very little time or very little hash rate from miners to activate this also.

[00:10:53]And what is the endgame? First off, Bit 110 success will demonstrate again that nodes hold power, not miners. This solidifies Bitcoin as unbreakable money.

[00:11:04]So, while although 6% of miners have signaled in their blocks that they want to do this, this can quickly snowball because there's some sort of game theory that says if my largest competitor can profit on a side chain or a separate chain and also hurt my ability to have the longest chain on the core Bitcoin or current Bitcoin implementation, then I have incentive to switch to this new fork. But there's people like Samson Mau that disagree that campaigning for something that the majority of Bitcoiners is in fact going against consensus and is damaging to the network overall. Let's hear what Samson has to say about it.

[00:11:41]>> It's not that you have to flush the whole thing away. That's how altcoins are made. That's how Bcash was made.

[00:11:48]That it has to be this way. Bitcoin has to be used in a certain way or else it's failed. Like again, we've heard that time and time again in the past, right?

[00:11:57]Over and over. either authentically or inauthentically as a reason to create a fork and profit from that too. Uh but your other point about the ordinals people like I've said it publicly like ordinals are a joke they were always going to die and yeah like of course they have an incentive but I don't know if um restricting data would stop that incentive it would make it more difficult for them but they can always work around it and the benefit of scamming is far higher than whatever fees would be uh prohibitive to prevent you from putting data into Bitcoin.

[00:12:39][clears throat] >> Okay.

[00:12:40]>> I mean, that's their whole economic model, right? They made more scamming people into ordinals than they paid in fees, but they still made money scamming people.

[00:12:48]>> Yeah. Yeah. Yeah. Yeah. That's I don't think that's something that can be solved with uh Bitcoin software. The fact that people are going to try to scam other people, you know, that I don't think we can program that one out of humanity with with software. Exactly.

[00:13:00]But that's interesting. I guess my last question is so why related to BIP BIP 110 it's a RDTS right so reduce data temporary soft fork so why is it temporary and if it is temporary and there is a chain split what happens after the temporary you know softwork ends well it's going to just create a fork a minority fork with low hash rate and then I don't know I haven't thought that far ahead because it's not a priority to me >> and it should not be a priority to me.

[00:13:35]Like who are you to tell me that something's happening in what? I don't even know the day. What day is it that they're >> I think it's like 28 days from now. So like 25 days from when this releases or something.

[00:13:46]>> Yeah. So who are you to tell me that there's going to be a fork in 28 days?

[00:13:50]>> The Bitcoin way will teach you exactly what a Bitcoin node is. We've been talking about this BIP Bitcoin improvement proposal signaling your interest for running BIP 110. Well, what does that even mean? Members of the Bitcoin way will walk you through exactly what that means and why running a node is important. It's one of the core foundations of Bitcoin in that the users do still have the power to control what they run and how their money is governed. Schedule a free 30-minute meeting with the team at the bitcoinway.com/partner/dant-cook.

[00:14:17]This argument isn't just a technical one. It's an emotional one. And emotions are rising really high right now. In fact, they're at a fever pitch. One of the articles that's tipping the scales and blowing up in the Bitcoin circles right now is one by Jason Hughes, who's one of the lead developers of the Ocean Mining Protocol, one of the main platforms and contributors to decentralizing Bitcoin mining from the large pools which control the majority of the hash rate so that they cannot 51% attack Bitcoin because although in hardware Bitcoin is decentralized, in software it is not. And so being one of the core developers at Ocean Mining means that his boss Luke Dash Jr., one of the founders, and a core teammate, Bitcoin Mechanic, are one of the vocal people for BIP 110. But this article, he publicly disagrees. Not only does he say that he doesn't believe that it's going to happen, that the probabilities of it passing are between 5 and 15%. He says that it's a silly way to deal with the problem of spam, which will never go away. The incentive for spammers is always going to be greater than the cost implemented against spammers, which is why JP Morgan continues to commit fraud all across the world. The amount of profit that they make from the fraud that they do all across the world does not equal the cost and the expenses that they have to pay from the fines that they get for committing those frauds.

[00:15:35]This is what the side of the camp that is leaning towards not going with BIP 110 is saying. Spam will always exist and the game theory of the Bitcoin network should be strong enough to disincentivize the majority of spam naturally. We don't have to introduce a soft fork that could introduce other risk to Bitcoin. And this is why Michael Sailor said it's a lrogenic proposal.

[00:15:56]The infighting, the actual need or desire to change might actually be the biggest enemy to Bitcoin itself. If you rely on a system to do one thing, then you have to take the good with the bad.

[00:16:07]When you have a system built that generates random letters and numbers to issue a license plate for a person or an individual uniquely, well, you have to live with the fact that sometimes it can spit out the license plate that says squeeze to a 77y old woman.

[00:16:24]>> I don't think a woman that lives in a senior community that's going to be 77 years old next month will be driving around with what this plate has to say.

[00:16:35]If you want the system to randomly generate letters and numbers, then you might have to live with the fact that you could get a squeeze in plate. And if you live with a system that is an open protocol that allows anyone anywhere to download it, to use it, then you might have to live with the fact that there's going to be spam on it. The internet wasn't originally built to do all of the things that we do today. It wasn't built as a means of AI generating fake and random images and memes about stuff that we all love, like a guy getting hit in the air by a bison. All sorts of memes are coming out of that. That was not the original intention of the internet. Yet, here we are with these bison ads. The air bisons are I'm going to buy them if they come out with the upside dude down flipped upside down. Anyways, that's not the point. Point is, something good that you want everyone to use in the world might have some bad consequences. But that doesn't mean that you should not fight, voice your opinion, and stand up, which is what the Bitcoin knots and BIP 110 proponents are doing. But these sorts of fights aren't new to Bitcoin.

[00:17:33]We've seen this before with the block size wars. Miners and ventureback companies push for bigger blocks, but the small blocks won. The node runners, Bitcoin Cash split away from Bitcoin, and we've all seen what's happened with that. There's fear and uncertainty into all of these things, but Bitcoin is a network that grows and learns and gets better over time, even with volatility.

[00:17:52]So, where do I land?

[00:17:55]Hard to tell. I want to hear your thoughts and comments. Hard for me as a guy with a platform like mine to give an honest opinion about what I think to people that I don't really know. One thing that I do know about things like these is sometimes pigs love to get muddy more than you want to get dirty.

[00:18:11]So, be careful about what fights you jump into. One thing I do want to caution the Bitcoin community against is while like KIB BTC says, we're arguing about the BIP 110 proposal, well, the people out there, the fiat currency overlords are preparing an even bigger stable coin network, which poses a much bigger threat than spam on the blockchain in my opinion. So, where are we really focusing our energy? Bitcoin will get better and will get better. I stand with all of my friends on both sides of the aisle and in 25 days block 961,632.

[00:18:43]We're going to see what's going to happen. Despite there only being 6% of minor signaling in blocks that therefore BIP 110, I believe that there's a much higher greater in possibility that BIP 110 can be passed and the user activated soft fork will get activated. But let me know what you think down below. You a core not 110 proponent? Love to hear.

[00:19:03]This is Dante Cook with Bitcoin simply.

[00:19:05]And if you've heard a little bit about Bitcoin mining, but you're like, I'll leave all that activation and softwork stuff to the other people. I just want to get SAT straight to my wallet. Well, then work with SAS mining, the leader in Bitcoin back mining. You give them your money, they send SATs, 100% clean, free, renewable energy, money flowing to you 24/7. This is Dante Co, Bitcoin Simply.

[00:19:25]Happy stacking.

[00:19:27][music] Heat.

[00:19:37]Heat.

[00:19:41][music]