BitGo warns users that they would not support the Genesis hard fork for Bitcoin SV (BSV). The protocol change will mean the BitGo wallet can no longer carry BSV, as it will not be able to receive funds.
In a blog update on Wednesday, “Murch,” a software engineer at the firm, said the Genesis hard fork scheduled for February 4, 2020, would usher in a new consensus mechanism making BitGo’s BSV wallets unable to receive payments.
The post stated:
“This consensus rule change will make Pay-to-Script-Hash (P2SH) outputs invalid. Since BitGo’s BSV wallets use P2SH-based multi-signature addresses, the protocol change will render BitGo BSV wallets unable to receive funds.”
The wallet team has issued a warning that the digital asset will not be movable from February 4 of next year, and there is no intention to upgrade or continue to carry BSV.
The two options available for users now are to request an exchange into Bitcoin (BTC) or send the coins to an external wallet.
Those who would like to change their BSV coins to BTC are requested to contact the wallet team via firstname.lastname@example.org with their request.
Is Bitcoin SV About to Sabotage Itself?
The Genesis upgrade will turn BSV into an entirely new type of coin, with the immediate removal of block size limits. The fork is scheduled to happen 11 years, one month and one day after the Bitcoin Genesis block, and aims to build a new approach to on-chain scaling.
Once completed, the BSV hard fork will apparently render Pay-to-Script-Hash (P2SH) outputs invalid, and with them, all BitGo BSV wallets, as these use P2SH-based multi-signature addresses.
Making P2SH outputs invalid could potentially carry major consequences for BSV and its users, especially if more service providers will follow BitGo’s course of action to stop supporting the coin.
The move by BitGo means that users can still spend the funds they already held in P2SH, but they will not be able to receive any to the BitGo BSV wallet.
BSV Maintains Hard Fork is Revolutionary
As far as Bitcoin SV is concerned, the upcoming hard fork represents a significant milestone in Bitcoin SV’s journey to restore the original Bitcoin protocol.
However, this upgrade is yet to prove if BSV can really replace BTC as the leading crypto asset and compete anywhere near its price or mining activity.