Overview
- BIP 110 is a developer proposal for a one‑year soft fork that would add seven consensus limits to curb data‑heavy inscriptions, including a 34‑byte cap on new output scripts and an 83‑byte cap on OP_RETURN fields.
- The proposal requires 55% miner signaling within a 2,016‑block window to lock in and miner support is effectively negligible at under 1%, making miner‑led activation unlikely.
- Michael Saylor published a wide critique on July 18 that argues consensus rules should not police lawful, fee‑paying transactions and that changing base rules would damage Bitcoin’s neutrality, a position shared publicly by Adam Back.
- Supporters say the limits would cut arbitrary on‑chain data and lower storage, bandwidth, and validation costs for full‑node operators while opponents prefer fee markets, local relay filters, pruning and layer‑2 solutions.
- A user‑activated signaling path approaches in early August 2026, keeping the dispute alive and creating a real risk that minority enforcement could force exchanges, wallets and custodians to choose which chain to follow.