Bitcoin's BIP-110 Enters Mandatory Signaling with Meager Miner Support

Bitcoin Improvement Proposal (BIP) 110 has entered its mandatory-signaling phase, which began at block 961,632 on Saturday. The proposal aims to limit certain types of data in Bitcoin's block space for approximately one year.

The BIP-110 monitor shows that miners have signaled support in just 51 of the preceding 2,016 blocks, or 2.53%, which is below the required 55% threshold for early activation.

Nodes enforcing BIP-110 will now reject blocks that do not set version bit 4, while ordinary Bitcoin nodes will continue to accept both signaling and non-signaling blocks.

The low signaling rate makes it unlikely that a sustained rival chain will emerge without greater miner participation. The proposal's critics, including Strategy Executive Chairman Michael Saylor and Blockstream CEO Adam Back, have argued that BIP-110 could divide the Bitcoin network and cause nodes to reject transactions permitted under existing rules.