Michael Saylor opposes BIP 110, saying soft forks threaten Bitcoin’s neutrality rules

Odaily Planet Daily News: Strategy founder Michael Saylor published a long post on July 18, listing 100 reasons against BIP 110. He said the proposal would limit a class of controversial but currently valid transactions through Bitcoin consensus rules, which amounts to governance intervention in use cases.

BIP 110 stands for “Reduced Data Temporary Softfork.” It was listed on GitHub in Complete status on June 25, 2026. The proposal plans to run for about one year and introduce seven new consensus restrictions, including an 83-byte limit for OP_RETURN outputs, a 256-byte cap for some payloads and witness items, and restrictions on certain Taproot-related structures.

Michael Saylor pointed out that BIP 110 uses a 55% miner signal threshold, below the 95% threshold in the standard workflow of BIP 9, and it also removes the usual timeout and FAILED status. He believes using a lower threshold for controversial rule changes would increase the probability of chain splits and may affect miners’ fee revenue and long-term network security.

He said that Bitcoin’s existing relaying and mining strategy tools already allow node operators and miners to restrict unwanted transaction types without changing the entire network’s consensus rules. Michael Saylor also said Bitcoin’s base layer should remain conservative and he opposes using consensus softfork governance to regulate disputed use cases.