Controversial Bitcoin upgrade proposal BIP-119 is expected to reach consensus before the end of the year

PANews reported on July 14 that according to Cointelegraph, the controversial Bitcoin upgrade proposal BIP-119 (OP_CHECKTEMPLATEVERIFY) is expected to reach a consensus by the end of the year. The proposal was proposed by Jeremy Rubin in 2019 and aims to enhance Bitcoin security and scalability through "covenants" technology, especially for Layer2 solutions such as the Lightning Network. On June 9, 66 Bitcoin core developers signed an open letter calling for the advancement of BIP-119 and BIP-348. The signatories include well-known developers such as Jameson Lopp and representatives of institutions such as Anchorage. If activated, the upgrade will support the smart vault function, allowing users to preset fund transfer rules (such as transferring a maximum of 0.1BTC to a hot wallet per week) and optimize Layer2 privacy transactions.

Although Bitcoin's decentralized governance mechanism has led to a slow upgrade process (the last major upgrade, Taproot, took three years), Second CEO Steven Roose predicts that technical consensus may be formed before the end of the year. However, actual deployment will still take 1-2 years, and the differences in activation mechanisms between miners and full nodes need to be resolved.