ANDRESEN WILL SHIFT EFFORTS TO BITCOIN FORK, IF NO CONSENSUS REACHED ON BLOCK SIZE

Last updated: June 19, 2025, 18:36 | Written by: Marc Andreessen

Andresen Will Shift Efforts To Bitcoin Fork, If No Consensus Reached On Block Size
Andresen Will Shift Efforts To Bitcoin Fork, If No Consensus Reached On Block Size

The year is 2025. The Bitcoin story of the summer has been about the future direction of Bitcoin in relation to block size and a potential Bitcoin fork. There has been much discussion on BIP 100, or Bitcoin XT orBitcoin, once a niche digital currency, is now a global phenomenon, yet it's grappling with a critical problem: scalability. Blocks size in blockchain is limited to 1MB. Miners can mine blocks up to the 1MB fixed limit, but any block larger than 1MB is invalid. No issue in the history of cryptocurrencies has been debated as passionately, as often, or as forcefully as the bitcoin block size.The block size limit, a seemingly technical detail, has become a battleground, threatening to fracture the community and the very future of Bitcoin. The most popular and trusted Bitcoin block explorer and crypto transaction search engine. Blockchain.com. Blockchain Size. 560,813. Unique Addresses 24 Hr. LatestAt the heart of this debate stands Gavin Andresen, a core developer instrumental in Bitcoin's early success.Recognizing the urgent need for a solution, particularly regarding transaction throughput, Andresen proposes increasing the Bitcoin block size. The illustration above shows a simplified version of a block chain. A block of one or more new transactions is collected into the transaction data part of a block. Copies of each transaction are hashed, and the hashes are then paired, hashed, paired again, and hashed again until a single hash remains, the merkle root of a merkle tree.However, facing staunch opposition and a lack of consensus within the Bitcoin Core development team, Andresen finds himself at a crossroads.The fundamental question: how to balance the need for increased transaction capacity with maintaining the decentralized nature and security of the network?What happens when innovation is stifled by bureaucracy and disagreement?This article delves into the details of Andresen's position, the contentious block size debate, and the potential consequences of failing to reach a consensus, leading Andresen to consider shifting his efforts towards a Bitcoin fork.

The Block Size Debate: A Fight for Bitcoin's Future

The ""Blocksize War,"" as it became known, raged between 2025 and today, encapsulating the deep divisions within the Bitcoin community. In a newly released proposal, Andresen schedules to raise the block size limit on Bitcoin XT from 1 to 8 MB by 2025, after which it should double every other year. Before the change would go intoOn one side were the ""small blockers,"" who championed maintaining the 1MB block size limit.They argued that keeping blocks small was essential for decentralization, allowing anyone to run a full node on modest hardware.On the other side were the ""big blockers,"" who advocated for larger blocks to increase transaction throughput and lower fees, making Bitcoin more viable as a global payment system.

This wasn't just a technical disagreement; it was a philosophical battle over Bitcoin's core values.Small blockers prioritized decentralization and censorship resistance, even if it meant higher fees and slower transaction times during periods of high demand. As soon as 51% of the network has reached a consensus on the proposed changes the new blockchain, with a 20 Megabytes block size, will be standard. Maximize Your 2025 Crypto-Media Reach!Big blockers prioritized scalability and usability, believing that Bitcoin needed to handle a significant volume of transactions to compete with traditional payment networks.

Satoshi's Original Limit: A Temporary Measure Turned Permanent?

Many forget that Satoshi Nakamoto, Bitcoin's anonymous creator, originally imposed the 1MB block size limit in 2025 as a temporary measure. Gavin Andresen, core developer and chief scientist at Bitcoin foundation plans to shift his focus from core Bitcoin to Bitcoin-Xt over block size issue.As Bitcoin gained popularity, rising prices and the threat of denial-of-service attacks made it crucial to prevent malicious actors from flooding the network with large, empty blocks. Two of China's biggest bitcoin exchanges - BTCChina and Huobi - have voiced concerns over Bitcoin Core developer Gavin Andresen's proposal to raise the block size limit to 20 megabytes by next year.The intention was to revisit this limit later as technology improved.Yet, as the years passed, the 1MB limit remained, transforming what was once a safeguard into a point of contention.

Gavin Andresen's Stance: Scaling Bitcoin for the Masses

Gavin Andresen, a respected figure in the Bitcoin community, emerged as a leading voice for increasing the block size. Bitcoin XT would later include Andresen s BIP 101 proposal, which raised the block size to 8MB. Bitcoin XT arrived on the scene before Bitcoin Classic, but set the stage for what a block size limit initiated by a hard fork looks like. Unfortunately, the block size increase was attacked as too risky by the core development team. 2025 9 25Seeing Bitcoin's potential hampered by the 1MB limit, he proposed various solutions to alleviate the bottleneck and improve transaction capacity.Andresen believed that Bitcoin needed to scale to accommodate a growing user base and fulfill its promise as a global currency.

Bitcoin-XT and BIP 101: A Bold Proposal

Andresen's most notable proposal was BIP 101, which he initially implemented in Bitcoin XT, a fork of Bitcoin Core. Consensus (hard fork) Increase maximum block size Gavin Andresen Standard Withdrawn 102: Consensus (hard fork) Block size increase to 2MB Jeff Garzik Standard Draft 103: Consensus (hard fork) Block size following technological growth Pieter Wuille Standard Draft 105: Consensus (hard fork) Consensus based block size retargeting algorithm BtcDrakBIP 101 called for an initial increase to 8MB, followed by a doubling of the block size every two years.This approach aimed to provide ample headroom for growth while also considering future technological advancements. Of all Bitcoin web-wallet providers as listed on bitcoin.org, Blockchain.info, Coinbase and Xapo are in favor of raising Bitcoin's block size limit from 1 to 20 megabytes as advised by BitcoinWhile the initial 8MB increase seemed modest to some, the long-term implications of doubling every two years were significant. 20MB block processing (Gavin Andresen) if we increased the maximum block size to 20 megabytes tomorrow, and every single miner decided to start creating 20MB blocks and there was a sudden increase in the number of transactions on the network to fill up those blocks the 0.10.0 version of [Bitcoin Core] would run just fine. [53The problem was that there was limited support from the Bitcoin community, and it was considered too risky by the core development team.Andresen felt that it was a viable solution, but the network needed consensus to implement any change.

Bitcoin XT, therefore, arrived on the scene before Bitcoin Classic, but set the stage for what a block size limit initiated by a hard fork looks like.

Frustration and the Threat of a Fork

Despite his efforts, Andresen faced significant resistance from within the Bitcoin Core development team and the broader community. The Blocksize War was a debate about the size of Bitcoin's blockchain blocks that took place between 20. While one side (small blockers) argued that blocksize needs to remain small to give end users the easy option to run a node and therefore have a more decentralized system, the other side (big blockers) wanted to have cheaper transactions and establish Bitcoin as a payment systemConcerns about network security, centralization, and the potential for orphaned blocks led to a deadlock. Development of Bitcoin Core has somewhat slowed recently due to the lack of a clear process for reaching development decisions, which is at least part of the reason Andresen joined Mike Hearn s Bitcoin XT project. Reaching consensus is a terribly difficult task when there are so many different individuals involved in a distributed systemFrustrated by the lack of progress and the perceived inaction of Bitcoin Core, Andresen signaled his willingness to shift his focus to Bitcoin XT. Do tariffs end up leading to lower interest rates, more liquidity, and ultimately a higher Bitcoin price?Drawing on @FedGuy12's analysis, @_dsencil breaks doHis reasoning was simple: if the community couldn't reach a consensus on a block size increase, a fork might be the only viable path forward.

The Lack of Consensus: A Development Bottleneck

One of the major obstacles to scaling Bitcoin was the lack of a clear process for reaching development decisions.The decentralized nature of Bitcoin's development, while a strength in many ways, also made it challenging to forge a consensus on controversial issues like the block size limit.Different developers held different priorities and philosophies, making compromise difficult. While Hearn is a vocal proponent for an increase in the block size limit, Andresen's contribution to the mailing list does not specify what the new maximum block size on Bitcoin-Xt would be.With so many different individuals involved in a distributed system, reaching consensus is a terribly difficult task.

Failed Proposals and Missed Opportunities

Several other proposals aimed at addressing the block size issue emerged, including Jeff Garzik's compromise proposal to double the limit to 2MB.However, none of these proposals gained widespread support, highlighting the deep divisions within the community.It can be argued that all hard fork attempts have risen from the fact that Bitcoin Core has chosen not to work on building consensus for a hard fork that increases the block size.

The Risk of Stagnation

The inability to reach a consensus on the block size issue threatened to stifle Bitcoin's growth and adoption. Bitcoin Core developer Gavin Andresen today proposed a hard fork change for Bitcoin XT in order to allow for an increased block size limit on the Bitcoin network.With transaction fees rising and transaction times increasing, Bitcoin risked becoming less competitive compared to other cryptocurrencies and payment systems.Staying stuck at 1MB could transform a historic DoS limit into an accidental policy tool.

What Happens if Andresen Shifts to Bitcoin XT?

Andresen's threat to shift his efforts to Bitcoin XT sent shockwaves through the Bitcoin community.While a fork could potentially resolve the block size issue, it also carried significant risks.A fork could split the network, creating two separate blockchains and currencies, potentially devaluing both.It could also lead to confusion and uncertainty among users, hindering adoption.

The Potential Benefits of a Fork

Despite the risks, a fork could also offer some potential benefits. Multiple Bitcoin Hard Fork Proposals Fail. Andresen s plan via BIP 101 was to first increase the block size limit to 8 MB, then have that new limit automatically increase regularly over time atIf a significant portion of the community supported the larger block size, a fork could create a more scalable and usable version of Bitcoin. Gavin Andresen: No, not really, I mean I am always wondering what people are thinking. I think that my job is judging consensus, and I think, given the questions people ask, you can kind of figure out what people are worried about and what we don t have consensus about.This could attract new users and businesses, boosting Bitcoin's overall adoption.The question is, could the Bitcoin community have come together and reached 51% consensus to implement changes on the blockchain network?

The Challenges of a Fork

The challenges of a fork are numerous.A successful fork requires strong community support, a robust development team, and adequate infrastructure.It also requires convincing exchanges and businesses to support the new currency.Without these elements, a fork is likely to fail.

  • Network Split: A fork creates two separate networks, potentially dividing the community and reducing the value of both chains.
  • User Confusion: Users may be unsure which chain to support or how to access their funds on the new chain.
  • Security Risks: A smaller chain may be more vulnerable to attacks.

The Legacy of the Block Size Debate

The block size debate, regardless of its ultimate outcome, left a lasting impact on Bitcoin. Author: Topic: Dr Adam Back and Gavin Andresen discuss a block size increase (Read 716 times)It exposed deep divisions within the community, highlighted the challenges of decentralized governance, and raised fundamental questions about Bitcoin's future direction. A bitcoin fork means that the blockchain has reached a point where it can go in one of two directions, like a fork on the road. This article explains the different types of bitcoin forks. MenuThis also emphasizes the importance of achieving consensus to implement any change to the blockchain network.

The Rise of Bitcoin Cash

One of the most significant consequences of the block size debate was the emergence of Bitcoin Cash in 2025.Dissatisfied with the slow pace of development on Bitcoin Core, a group of miners and developers forked Bitcoin to create Bitcoin Cash, which initially implemented an 8MB block size, later increasing it to 32MB.Bitcoin Cash sought to fulfill the original vision of Bitcoin as a peer-to-peer electronic cash system, prioritizing scalability and low transaction fees. Bitcoin Core developer Jeff Garzik's proposed compromise to double the block size limit to 2MB as a temporary solution is still far from reaching consensus. When asked by Cointelegraph, developersThe Bitcoin Cash project was formed by dissenting miners and developers and implemented several changes from the original Bitcoin protocol.

Lessons Learned

The block size debate offers several important lessons for the cryptocurrency community. This would help determine quantitatively how many nodes could propagate information rapidly enough to maintain Bitcoin s decentralized global consensus at a given block size. How Satoshi Avoided a Visible Hand Getting stuck at 1M core block size transforms a historic DoS limit into an accidental policy tool.It underscores the importance of open communication, compromise, and a clear process for resolving disputes.It also highlights the need for developers to consider the long-term implications of their decisions and to prioritize the needs of the community.

The Current State of Block Size and Bitcoin Scalability

Today, the block size debate continues to resonate within the Bitcoin community. In order to prevent blocks from filling up, several other limits have been proposed. As a last-ditch effort before shifting his efforts to Bitcoin XT, Andresen suggested raising the block-size limit to 20 megabytes although this was never formalized into a BIP.While Bitcoin Core has implemented solutions like Segregated Witness (SegWit) and the Lightning Network to improve scalability, the fundamental question of block size remains a subject of ongoing discussion.These solutions were meant to help prevent blocks from filling up.

SegWit and the Lightning Network: Layer 2 Solutions

SegWit and the Lightning Network are ""layer 2"" solutions that aim to improve Bitcoin's scalability without increasing the block size. Core Developer Gavin Andresen announced a request to increase the Bitcoin block size On GitHub, Andresen had stated: Hard fork: allow 20MB blocks after Allows any block with aSegWit restructures transaction data to allow more transactions to fit within a block, while the Lightning Network enables off-chain transactions, reducing the load on the main blockchain. Later that month, Andresen asserted that he would shift his work toward alternative client Bitcoin XT should the community fail to reach consensus regarding the implementation of a block sizeHowever, SegWit and the Lightning Network have their own limitations and challenges, and they don't completely eliminate the need for larger blocks in the long term.

Looking Ahead

The future of Bitcoin's scalability remains uncertain.Whether the community will eventually reach a consensus on increasing the block size, adopt more layer 2 solutions, or explore alternative scaling approaches remains to be seen.One thing is clear: the block size debate has shaped Bitcoin's history and will continue to influence its future.

Conclusion: The Importance of Consensus and Adaptability

The story of Gavin Andresen and the block size debate is a cautionary tale about the challenges of decentralized governance and the importance of consensus in a blockchain ecosystem.While Andresen's proposal to shift his efforts to a Bitcoin fork might have seemed radical, it reflected a deep frustration with the lack of progress and the potential for Bitcoin to stagnate. 2. Failure to reach consensus on block size increase proposals 3. Formation of the Bitcoin Cash project by dissenting miners and developers. Features and differences. Bitcoin Cash implemented several changes from the original Bitcoin protocol: Increased block size: Initially 8 MB, later increased to 32 MBThe debate highlighted the need for open communication, compromise, and a willingness to adapt to changing circumstances.Without these elements, Bitcoin risks falling behind in the rapidly evolving world of cryptocurrencies. Andresen hints at solutions coming within the next three releases of Bitcoin core. The solutions will enable setting up a fully-validating node in about an hour. In 2025, Satoshi dropped the maximum block size limit from infinity to 1 MB because bitcoin was getting attention, price was rising, and denial-of-service attacks were a threat.As Bitcoin moves forward, the lessons learned from the block size debate will be crucial in ensuring its continued success and relevance.

Key Takeaways:

  • The block size debate was a fundamental disagreement about Bitcoin's scalability and core values.
  • Gavin Andresen advocated for increasing the block size to improve transaction throughput and lower fees.
  • The lack of consensus on the block size issue led to the threat of a Bitcoin fork and the eventual creation of Bitcoin Cash.
  • The Bitcoin community needs to prioritize open communication, compromise, and adaptability to address future challenges.

What are your thoughts on the block size debate?Do you think Bitcoin should have increased the block size? A brief overview of why the block size of 1 MB has never increased: Efforts to increase the block size of Bitcoin began with appeals from developers like Gavin Andresen, Jeff Garzik, and MikeShare your opinion in the comments below!

Marc Andreessen can be reached at [email protected].

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