Bitcoin Inscriptions Under Fire: Core Developer Calls It a "Vulnerability"—What's Next?

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The recent surge in Ordinals and BRC-20 tokens has ignited a frenzy in Bitcoin-based inscription minting and trading. ORDI, the flagship token of this movement, skyrocketed over 14× in a month, creating overnight profits for speculators. However, Bitcoin core developer Luke Dashjr has labeled inscriptions as a "vulnerability," sparking market panic and a sharp ORDI price drop.

Key questions we’ll answer:


Proposed Ban on Inscriptions: The Backstory

On December 6, Luke Dashjr announced that inscriptions exploit a Bitcoin Core bug allowing spam transactions. He urged fixes in the upcoming V27 release, which could effectively end Ordinals and BRC-20 tokens.

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Two Critical Limits Under Scrutiny

  1. datacarriersize: Restricts OP_RETURN-based data (e.g., UTXO outputs).
  2. maxscriptsize: Targets Taproot-based inscriptions (witness field data).

If enforced, only minimal-footprint protocols like Taproot Assets might survive.


Community Reactions: A Divided Ecosystem

Supporters of the Ban

Opponents


The Stakeholders: Who Stands to Lose?

Miners

Exchanges

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FAQs: Your Burning Questions Answered

Q: Will inscriptions really disappear?
A: Only if miners adopt V27—unlikely given their profits.

Q: Are there alternatives to chain inscriptions?
A: Yes! Layer-2 "inscription chains" could hash data to Bitcoin periodically.

Q: How does Taproot fit into this?
A: Its flexibility enabled inscriptions; a rollback seems politically untenable.


Conclusion: A Clash of Ideologies

Bitcoin’s decentralization means no single group dictates changes. While developers push technical purity, miners and exchanges thrive on inscription-driven activity. The outcome hinges on whether profits outweigh principles.

Disclaimer: This content is for informational purposes only and does not constitute financial advice.


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