BIP 110 withdrawal requests are increasing! What are Bitcoin’s top developers and institutions debating?

The core of the BIP 110 debate

Supporters of BIP 110 argue that non-financial data added to the blockchain unnecessarily crowds the network and increases storage demands. According to this perspective, such activity imposes extra pressure on the core function of Bitcoin as a payment system.

Dashjr, who also maintains the Bitcoin Knots alternative client, has made it clear that there are no plans to retreat from the proposal. Bitcoin Knots has long been closely followed by the technical community as a prominent alternative to the default Bitcoin client.

Luke Dashjr specified that Michael Saylor has not commented on BIP 110 so far, adding that it is now too late to cancel the proposal.

Dashjr has also warned that the current proposal may not be the final measure. If the Bitcoin Core team implements necessary changes within the coming year, an additional long-term soft fork may not be required; otherwise, further action might come to the forefront.

Saylor’s focus on stability over change

Michael Saylor, Chairman of Strategy, has recently published a philosophical essay emphasizing that the long-term success of Bitcoin depends on preserving its principle of immutability. Saylor argues that the greatest evolution for Bitcoin in the next decade will come through less, rather than more, change.

As Saylor explains, Bitcoin should not be seen as a tech stock, payments company, or software platform racing to add new features. Instead, he highlights its goal is to move forward slowly and maintain systemic resilience, rather than to disrupt at a rapid pace.

Saylor believes that only the strongest possible justification should allow for protocol changes. This conservative perspective has reignited discussions about the balance between technical innovation and Bitcoin’s commitment to stability.

Institutional capital flows and leverage risks

According to Saylor, the future growth of the Bitcoin network will be driven primarily by large institutional capital inflows. He notes that while halving events constrain supply, the actual trajectory of growth will depend on these fresh funds entering the market.

At the same time, Saylor has issued a cautionary note about extreme leverage, warning that excessive use could foster a “paper Bitcoin” phenomenon. This term points to a market dynamic where derivative positions, rather than real Bitcoin, influence the network’s structure and stability.