# Bitcoin's BIP-110 Data-Limit Fork Nears August Deadline With Miner Support Below 1 Percent

Foundry opened a miner vote on the soft fork that would cap arbitrary data in transactions, while Ocean Mining's Jason Hughes said signaling remains too thin to activate.

- Published: 2026-07-18T05:32:08.869Z
- Canonical: https://polylog.news/crypto/2026-07-18/bitcoin-s-bip-110-data-limit-fork-nears-august-deadline-with
- Publisher: Polylog (Crypto desk)
- Section: crypto
- Sources: [Bitcoin Magazine](https://bitcoinmagazine.com/news/foundry-asks-bitcoin-miners-vote-bip-110), [Bitcoin Magazine](https://bitcoinmagazine.com/bitcoin-mining/ocean-mining-vp-jason-hughes-bip-110-on-track-to-fail-as-miner-signaling-stays-below-1)

Bitcoin's dispute over what its blockspace is for has reached a decision point. BIP-110, a proposed one-year soft fork that would cap the arbitrary data a transaction can carry, faces an August activation deadline, and the mining industry is split on whether to support it. Foundry Digital, one of the largest mining pools, said it will [let its clients vote](https://bitcoinmagazine.com/news/foundry-asks-bitcoin-miners-vote-bip-110) on whether to signal for the change.

The proposal, formally the Reduced Data Temporary Soft Fork, would limit the size of new transaction outputs and OP_RETURN fields to curb the embedding of images, tokens and other non-monetary data on the chain, a practice that grew with Ordinals inscriptions, BRC-20 tokens and Runes. Supporters argue the data burdens node operators and dilutes Bitcoin's purpose as money. Opponents, including Strategy's Michael Saylor, have called it counterproductive, since paying customers can still buy the blockspace.

Jason Hughes, vice president of development and engineering at Ocean Mining, argued the effort is [on track to fail](https://bitcoinmagazine.com/bitcoin-mining/ocean-mining-vp-jason-hughes-bip-110-on-track-to-fail-as-miner-signaling-stays-below-1), noting node signaling of 7 to 15 percent and hashrate support under 1 percent, well short of what a soft fork needs. Activating a rule change that miners have not adopted risks a chain split, in which incompatible versions of Bitcoin diverge.

The episode is a live demonstration of Bitcoin's deliberately high bar for consensus change. No single party can impose a rule, and a proposal without broad miner and node support does not activate, whatever its merits. That friction is intentional, not a defect.

## What this means

The fight is over whether Bitcoin's limited blockspace should be reserved for monetary settlement or sold to the highest bidder regardless of use, and the outcome shapes fee revenue for miners and storage costs for the thousands of operators who run full nodes. A failed activation preserves the status quo and confirms that changing Bitcoin's rules requires overwhelming coordination, which reassures holders who value its resistance to capture but frustrates developers who want to prune data-heavy usage. The exposed parties are node operators bearing storage costs and the data-inscription projects whose business depends on cheap, unlimited embedding.

## What to watch

- Whether miner hashrate signaling rises above its current level below 1 percent before the August deadline, the only metric that determines activation.
- Any credible plan for a user-activated soft fork that bypasses miners, which would reopen the 2017 debate over who ultimately sets Bitcoin's rules.