Bitcoin community sees BIP-110 soft‑fork collapse as bullish signal

The BIP‑110 proposal, introduced in December 2025, aimed to impose strict limits on non‑financial data stored in Bitcoin transactions, targeting the growing use of Ordinals and similar payloads. The soft‑fork required a 55% miner signal to activate in August 2026, but on‑chain data showed only 38 of 9,066 blocks (about 0.42%) signaled support, representing roughly 0.31% of total hashing power – far short of the threshold.

Nakamoto founder and BTC Inc CEO David Bailey announced that the hostile‑takeover‑styled campaign behind BIP‑110 had failed, calling the outcome “incredibly bullish for Bitcoin.” He said the effort, led by developer Luke Dashjr, involved a mining pool, a competing client and coordinated messaging, but never secured meaningful economic weight. The failure highlights the dominance of mining and industry stakeholders in Bitcoin governance and leaves the network’s data‑heavy activities, such as Ordinals, largely unchanged via workarounds. Experts caution that future proposals could still surface, but for now the risk of a network split has receded.