Bitcoin Faces Fork Risk: BIP-444’s Legal Warnings Ignite Community Backlash
The Bitcoin (BTC) developer group is going through some disquiet after the publication of Bitcoin Improvement Proposal 444 (BIP-444), a “decreased knowledge” delicate fork that goals to limit sure forms of knowledge storage on-chain.
The proposal, launched by contributor dathonohm and linked to long-time developer Luke Dashjr, has triggered debate as a result of language suggesting authorized penalties for rejecting the fork.
The Contentious Proposal
Published on October 24, 2025, BIP-444 is labeled a “Reduced Data Temporary Softfork.” Its principal aim is to cease individuals from storing massive recordsdata, like photos, inside Bitcoin transactions.
The authors argue that is wanted as a result of Bitcoin Core 30 lifted the 80-byte cap on OP_RETURN transactions, permitting customers to retailer almost 4 MB of non-financial knowledge on-chain. They declare it might result in unlawful content material being completely added to the blockchain, placing each particular person operating a Bitcoin node at authorized danger.
Dashjr beforehand described the modifications made to OP_RETURN transactions as “utter madness,” warning it could open the door to spam and undesirable knowledge. Supporters of the modification argued that Bitcoin ought to stay impartial, relaying all legitimate transactions no matter goal. Now, BIP-444 seems to be a counterreaction to that liberalization, an effort to reintroduce strict limits after Core 30’s growth.
However, critics argue that the proposal’s tone and technical implications cross a line. In one part, the draft warns that “rejecting this softfork might topic you to authorized or ethical penalties, or might end in you splitting off to a brand new altcoin like Bcash.” This has been seen by many as an try and pressure the change by way of through the use of worry.
Another half requires “retroactive chain reorganization” to counter “a direct disaster” attributable to alleged unlawful content material in Bitcoin Core 30. This signifies that if a block with “troublesome content material” is discovered, the brand new guidelines could possibly be utilized to erase it and all blocks after it, successfully rewriting part of the blockchain’s historical past.
Critics level out that the proposal admits it doesn’t utterly cease spam. It additionally locations strict limits on superior sensible contracts, which might pause growth on tasks like BitVM.
Community Division and Technical Concerns
The backlash from well-known group figures has been swift and extreme. Research group BitMEX Research warned that the plan might have the opposite of its meant impact.
“A nasty actor who desires to conduct a double spend assault might put CSAM onchain to trigger a re-org and succeed with their assault,” they posted. “The proposal due to this fact supplies an financial incentive for onchain CSAM.”
Many are nervous in regards to the technical fallout. Developer Stephan Livera highlighted a remark from a fellow professional who warned that limiting Taproot scripts and eradicating OP_IF might “freeze funds” or block respectable sensible contract use circumstances like inheritance and restoration programs.
Another developer, Nitesh, expressed a typical feeling of frustration, posting:
“The approach the BIP has been worded feels like the govt. is threatening us.”
Developer Matt Corallo summed up the issues of many by evaluating the cautious method normally taken with Bitcoin modifications to this proposal’s aggressive fashion, merely stating, “This BIP: ‘YOLO’”.
Supporters, nevertheless, see the measure as a short-term repair. On-chain analyst _Checkmate defended the plan, saying, “We want a short lived delicate fork to cease the unfold of spam. Just give us two weeks.” Dashjr himself responded to critics by saying the proposal has “no technical objections” and goals to make spam-based Taproot abuse invalid.
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