70 Percent of the Bitcoin Hashrate Begins Signaling Segwit2x

70 Percent of the Bitcoin Hashrate Begins Signaling Segwit2x

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On June 16 the alpha code for the scaling solution Segwit2x was released to the public following a large number of mining pools having vocally supported the plan. Since then a large majority of miners who back the Segwit2x roadmap have started signaling with their hashrate.

Also Read: Australian Opposition Leader Believes Bitcoin is Fueling Terrorism   

The New York Agreement Moves Forward With the Segwit2x Alpha Release and Significant Miner Support

Over the past few weeks, the topic of scaling the Bitcoin network and the recent Segwit2x plan has been a hot subject amongst bitcoiners. A few days ago Bitcoin.com reported on the many Chinese mining companies who have agreed to back the Segwit2x protocol. Alongside this, the Digital Currency Group’s Barry Silbert who organized the New York agreement has been sharing information on the progress every day via Twitter.

On June 18 the mining pool Bitfury began signaling for the New York agreement by using the call letters “NYA” in its mined blocks. The very next day a large majority of miners have also started showing support for the Segwit2x plan. As of right now, mining pools who support the agreement by signaling NYA in their blocks are Antpool, Bitcoin.com, Bixin, BTC.com, BTC.top, F2pool, Viabtc, and 1hash. The amount of support for the Segwit2x agreement is close to 70 percent of the network hashrate.

70 Percent of the Bitcoin Hashrate Begins Signaling Segwit2x
The current percentage of blocks signaling Segwit2x according to Blockchain.info at 10 am EST 6/19/17.

What Will Happen If Segwit2x Reaches Consensus?

70 Percent of the Bitcoin Hashrate Begins Signaling Segwit2x
The organizer of Segwit2x, Barry Silbert, has been tweeting about the protocols progress daily.

The Segwit2x idea was first introduced by Rootstock’s Chief Scientist, Sergio Demian Lerner. Since then many miners and businesses within the bitcoin industry signed a pact during the Consensus conference in New York last month. The code itself is being worked on by a Segwit2x working group with Bitcoin developer Jeff Garzik leading the way. Since the alpha code has been launched mining pools are now signaling their support for the protocol implementation.

A recent Reddit public service announcement (PSA) that details how Segwit2x will actually work gives a great explanation of the entire process. Essentially if enough hashrate continues to support Segwit2x and reaches 80 percent over a 336 block signaling period that will lock in Segregated Witness. The protocol will then activate after another 336 blocks later for those running Segwit2x implementations. The Reddit thread also explains how the following hard fork (HF) after Segwit will be implemented on the main network.

Then, exactly 12,960 blocks (~3 months) after Segwit activates on the Segwit2x clients, the Segwit2x 2MB hardfork will automatically activate on any/all nodes that are still running Segwit2x at that time. That hardfork, if it maintains 75+% of the hashpower at the time of its activation, will force every other node in the entire network to update to SegWit2x (or Segwit2x compatibility), or be forked off the network.

Bitcoin developer Jeff Garzik also adds his two cents to the PSA.   

“Very close on 2M HF activation,” explains Garzik. “The prediction is that miners activate rapidly. Therefore, block 485218 (BIP102_FORK_MIN_HEIGHT) becomes the hard fork point. “+3 months” is the fallback safety measure, in case activation is slower than predicted.”

70 Percent of the Bitcoin Hashrate Begins Signaling Segwit2x
Bitfury began signaling for Segwit2x on June 18.

The Possibility of a 4MB Increase and 8,000 to 10,000 Transactions Per Block

On forums and social media, there are quite a bit of people within the bitcoin community on both sides of the debate who agree with the Segwit2x plan. On the other hand, there are also those who vehemently disagree with the idea of this type of compromise. However it seems a vast majority of mining pools, and many bitcoin-centric businesses are moving forward with Segwit2x despite forum commentary.

The protocol is nearly identical to Core’s 0.14.1 client with some minor changes for signaling Segwit2x and the following activation of a soft fork and hard fork across the network. If consensus is reached, block size results would be roughly around 4MB as opposed to 1MB and will hopefully process 8,000 to 10,000 transactions per block. It will be interesting to see the outcome of the New York agreement as it seems to have gained more ground than the Hong Kong agreement in the past. It’s also worth noting that normal bitcoin users who hold their private keys will not have to do anything during the process except watch the procedure unfold.

What do you think about the Segwit2x plan? Let us know your thoughts in the comments below.


Images via Shutterstock, Blockchain.info, Pixabay, and Twitter. 


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  • Vitalicus

    Don’t keep your money only in bitcoin, is dangerous. (Recomended PPC)

    • Explain please?

      • Thank you. Understood!
        So your favorite coin is PeerCoin? Why? and what others would you HODL that are a good buy now?

        • Matt Hrones

          I’ve invested some of my coins in alts just to hedge against whatever may happen in the next few months. Transfer some to other trusted, high market cap and trade volume coins. Some good examples are Litecoin and Ethereum.

        • Vitalicus

          Peercoin is a green energy. First Proof of Stake. And on price is undervalued

  • Miner Perspective: I wonder if this will fail like every other Forked up plan these guys have planned and failed to execute. If you have a Th, you are a single Th miner if all your Th is in one pool. Full Wallets or signalling nodes can and will be run in parallel until these guys settle down with their forked up positioning. When the dust settles, I will decide which of my nodes to shut down based on the winner, the node with the most business. And, the pool with the best and timely payouts.

    HODL Perspective: Test your private keys now and change the passphrase after, then test them and keep your records in a safe again. Their promises of no change are just promises and proof in the testnet. Not FUD, just prudent to change your keys and addresses every once in a while until these guys stop fiddling with things that do not need to be fiddled with.

    Marketeer Perspective: Sit back and watch the show and HODL in paper or cold storage. Practice, because these guys will do it again.

    • DM500S

      True Feedback !!!!

  • Mahesa Suprobo

    So what if we hold our BTC on an exchange instead of our private key?

    Please explain how the hard fork will affect out current coin holdings.

    • Matt Hrones

      If you keep your bitcoins on an exchange you are essentially at the mercy of what the exchange decides to do. Depending on how they upgrade their nodes, if they upgrade to begin with, it could seriously mess with your holdings. I highly suggest moving them to a trusted desktop or mobile wallet, such as Electrum, Mycelium, or breadwallet. I personally used Electrum and it is very nice and user friendly.

    • alvaro ruiz

      In a wallet from an exchange you delegate the decision about what to do with your money to the exchange which may or may not be what you want. If they happen to go for the “less valuable branch” of the fork you will loose money. If the branch they support stagnates (the hashing power supporting the same branch is very poor) you may end up with coins with no value.
      With the money in your wallet you will inherit coins in both branches (if they actually happen) and certainly the one keeping the biggest value.
      ***Opinion***. At this point I do not see now 2 braches being created. I think there will be consesus and only 1 bitcoin will come out in August. This is just my opinion, Please do not give it any weight to it.

  • Dbt123

    Thank you for the article.

  • ramon castro

    hello i wish to know where i can buy bitcoin,ethereum and others coin with my credit or debit card on line that can be trust can some one help me?

    • Andrew Phillips

      Many places. Try coinbase.

      • ramon castro

        thank you

  • NAIJABOY

    segwit is long overdue. Lets have the fork

  • Well, it is Tuesday and the only effect so far are skyrocketing fees with higher delay. From 1200-50min range will cost you 60-360 satoshi per Byte. 360 used to get you a sweet 15min transaction. This range has approximately 20k unconfirmed transaction in queue as of 14:30 PST and approximately 110K in process waiting for confirmation. It does look like ‘the signalling’ has had the reverse effect expected, so far. Or, people just are paying more and have payed up to avoid issues.