Knots Plans New Algorithm for Stalled BIP-110 Chain

A minority fork of Bitcoin's blockchain, known as BIP-110, has stalled at block 961,633 after producing only two blocks. In response, a project called Bitcoin Knots announced plans to choose a new proof-of-work algorithm for the stalled chain.

The move is intended to push back against miners who refused to support BIP-110's signaling requirements. According to the announcement, the new algorithm will be selected through a deterministic random process among proposed candidates at 14:00 UTC on August 11.

Users are warned not to downgrade or switch to software that weakens Bitcoin's consensus rules, as this could expose them to false confirmations from invalid blocks. Miners restarting nodes were instructed to add the line maxtipage=2592000 to their configuration file.

The episode has exposed a sharp disagreement over what constitutes Bitcoin consensus, with some arguing that BIP-110 lacked sufficient support and others claiming it has community backing.