BIP-110 Alert for Bitcoin: Don’t Lose Your Entire Fortune While Expecting Free Coins This Weekend
Bitcoin (BTC) investors may face the risk of losing their actual assets while transacting in hopes of earning “free” coins during the BIP-110 fork expected this weekend.
A critical fork could occur on the Bitcoin network this weekend. A new proposal called BIP-110, which aims to restrict non-payment data such as images or text on the network for one year, could cause the chain to split into two. This means that every Bitcoin holder would have the same balance on the newly formed chain. However, experts are issuing serious warnings that attempting to sell these new assets creates a major security vulnerability.
Beware of Replay Attack Danger
Developer Kevin Loaec warned investors about the risk of a replay attack. In this type of attack, the transaction signature you create to sell coins on the new chain can also be considered valid on the main Bitcoin network. In other words, while you think you are selling a worthless fork coin, the buyer can use the same transaction record to withdraw your real Bitcoin (BTC) assets from your wallet to their own address. As symbolized in the image, this forking process carries a sharp risk “piercing” directly into investors’ assets.
The Safest Way to Protect Assets
Although miner signaling is currently at a very low level of around 2.6 percent, starting from block 961,632, nodes using the BIP-110 software will begin to reject other blocks. Since there is no automatic replay protection in this process and technical restrictions will not come into effect until early September, the safest option is not to move the coins at all.
Experts, stating that large investors could be targeted, emphasize that coins that do not move cannot be duplicated. If you must transact during this process, you first need to create safe coins that exist separately on both chains, which requires advanced technical knowledge. Therefore, in the event of a possible split this weekend, a “wait and see” strategy stands out as the most logical step.