Bitcoin developers supporting BIP-110 are preparing a separate BLAKE2b proof-of-work chain for a proposed Sept. 1 launch after an earlier minority branch failed to attract enough SHA-256 mining support.
Summary
- Bitcoin developer Luke Dashjr’s supporters plan a BLAKE2b breakaway chain after BIP-110’s minority branch stalled.
- The original BIP-110 proposed temporary restrictions on arbitrary data, not a proof-of-work algorithm replacement itself.
- The first enforcing branch produced only two blocks initially, showing that miners withheld meaningful support.
- Developers scheduled the BLAKE2b chain for September 1, although its final launch remains technically conditional.
- No major exchange, wallet, or Lightning implementation had publicly committed support before the planned launch.
The new chain became the subject of a dispute on Aug. 31 between BIP-110 supporter Loogart and Ripple co-founder David Schwartz, who previously served as Ripple’s chief technology officer.
Loogart argued that supporters had accepted losing the effort to change Bitcoin’s dominant chain and were voluntarily continuing elsewhere. Schwartz rejected the framing that supporters had tried to “fix the legacy chain.”
“Listen to yourself,” Schwartz wrote, before arguing that language portraying one side as broken moved the discussion away from a good-faith disagreement.
Schwartz’s comments represent his personal assessment. Neither Ripple nor the XRP Ledger has a technical role in BIP-110 or the proposed chain.
BIP-110 and the BLAKE2b fork are separate proposals
The original BIP-110 specification proposed a temporary soft fork restricting several methods used to place nonfinancial data on Bitcoin. Its rules included limits on large OP_RETURN outputs, script formats and contiguous arbitrary data exceeding 256 bytes.
Supporters argued those restrictions would reduce storage demands on node operators and preserve Bitcoin’s monetary use. Critics maintained that transaction fees and node policies should determine how block space is used.
BIP-110’s enforcing branch separated from Bitcoin’s dominant chain in August. It initially produced only two blocks as nearly all established Bitcoin mining power continued extending the existing network.
As crypto.news previously reported, BIP-110 entered its mandatory phase with only 2.53% miner support. That result left its minority branch far behind the chain recognized by major miners, exchanges and wallets.
The proposed BLAKE2b network is therefore not simply BIP-110 activating on Bitcoin. It is a separate hard fork with a different proof-of-work system and its own resulting asset.
BLAKE2b removes dependence on Bitcoin miners
The planned chain replaces Bitcoin’s SHA-256d mining algorithm with BLAKE2b. Existing Bitcoin mining equipment is designed specifically for SHA-256 and cannot automatically redirect its computing power to the new algorithm.
That change allows supporters to establish a new mining group instead of relying on operators securing Bitcoin’s dominant chain. Some machines designed for Sia’s version of BLAKE2b may be compatible, although available hardware does not prove that miners will commit enough computing power.
A rehearsal was arranged before the planned launch. Developers said a successful test could be preserved in a Bitcoin Knots 29.4.1 release on Sept. 1. Technical problems could require another release candidate and a reset to the last SHA-256 block.
The date should therefore be described as a target rather than an irreversible activation deadline. Reports published before the rehearsal also indicated that the final mainnet activation height had not been settled.
In related coverage, Luke Dashjr left OCEAN after disagreements over Bitcoin mining and recent protocol developments. OCEAN repurchased his equity after he resigned as chairman, chief technology officer and director.
Bitcoin holders face support and replay questions
No major exchange, mainstream wallet or Lightning implementation had publicly committed to supporting the BLAKE2b chain before the proposed launch. Without that infrastructure, any inherited forked coins may initially lack a reliable market price or accessible trading venue.
Wallets and infrastructure providers may also require technical changes. The proposed network uses BLAKE2b block headers that differ from Bitcoin’s current format, meaning existing light clients and indexers may not recognize the new chain automatically.
Replay protection is another issue to watch. If transactions remain valid on both networks, a payment broadcast on one chain could potentially be repeated on the other unless users separate their coins or employ other safeguards.
The practical effect on BTC depends on whether the breakaway network attracts miners, developers, wallets and trading venues after launch. Until then, claims that it will replace, repair or materially threaten Bitcoin remain disputed forecasts rather than established outcomes.
