Chinese Miners Announce Accelerated Development and Activation of Segwit2x

Chinese Miners Announce Accelerated Development and Activation of Segwit2x

A new agreement has been struck among Chinese Bitcoin exchanges and mining companies representing the majority of Bitcoin’s hashing power. They agree to accelerate the development and activation of the Segwit2x scaling upgrade.

Also read: Bitmain Announces Hard Fork Protection Plan Against UASF

Miners Supporting Segwit2x

Segwit2x, also known as the New York Agreement, is an industry-wide compromise that CEO and founder of Digital Currency Group Barry Silbert spearheaded in May to activate the Segregated Witness (Segwit) scaling upgrade for Bitcoin. The plan instantly gained popularity among a large group of Bitcoin miners and many businesses globally. On Saturday, June 17, Silbert tweeted:

Chinese miners representing over 80% of Bitcoin network hash rate have reconfirmed their support for Segwit2x.

The confirmation stems from an announcement made on Thursday by a coalition of Bitcoin miners and exchanges known as the Chinese Bitcoin roundtable.

Testing Starts Immediately, Signalling Starts Monday

Chinese Miners Announce Accelerated Development and Activation of Segwit2xThe group held a meeting during the Global Blockchain Summit, which took place on June 14 and 15 in Chengdu, China. They reaffirmed their support for Segwit2x and agreed to a new schedule to test and roll out Segwit2x ahead of the competing BIP148 launch date of August 1.

According to Twitter user Cnledger, the mining pools and exchanges that agreed to the aforementioned plan include Bitmain’s Antpool,, Bixin, Btcc Pool, F2pool, Huobi, Okcoin, Viabtc, BW, 1Hash, Canoe, Batpool, and Bitkan. The group said (loosely translated):

In order to effectively solve the problem of Bitcoin network congestion, we will accelerate the development of the Bitcoin scaling solution and promote the sustained, healthy and stable development of Bitcoin.

“We will immediately start the New York consensus Segwit2x program btc1 software test and join testnet5,” they further conveyed. “We will on Monday (June 19) begin to vote to support Segwit2x program,” the group proclaimed. “In order to avoid using the BIP9 vote to influence the official voting results, we will write the “NYA” mark in Coinbase, on behalf of the vote to support the New York consensus Segwit2x program.”

With the goal to release an “official version as soon as possible,” the group reiterated:

We are eager to activate the New York Consensus Segwit2x program by July 31st.

Wu’s Plan to Prevent BIP148

The event and announcement closely follow Bitmain’s release of its hard fork protection plan against UASF BIP148, which CEO Jihan Wu has described as an attack on Bitcoin. He spoke at the Summit on June 14 about how to prevent BIP148 from activating, outlining its weaknesses.

Chinese Miners Announce Accelerated Development and Activation of Segwit2x
Jihan Wu’s slide from Chengdu about UASF BIP148. (Photo: Jihan Wu, Cnledger; Translation: Cnleger)

The Need for Fast Action

Many miners attending the summit feel that the Bitcoin “Core” developers did not honor a promise made in February 2016, at the Hong Kong Consensus event, to hard fork the Bitcoin blockchain and raise the block size limit to 2 megabytes. Enabling Segwit2x would fulfill the 2-year-old promise.

Chinese Miners Announce Accelerated Development and Activation of Segwit2x
Jihan Wu speaking in Chengdu about the reason to take action. (Photo: Jihan Wu, Cnledger; Translation: Cnleger)

Do you think Segwit2x will successfully prevent UASF BIP148? Let us know in the comments section below.

Images courtesy of Shutterstock, Jihan Wu, Cnledger

Need to calculate your bitcoin holdings? Check our tools section.

  • Miners decide what miners do based on time and fee not FUD. The New York or Chinese consensus is not representative of all miners even though they may have as a collective the largest mining hash rate. Just because they are bigger in hash rate and more ignorant does not mean they have individual voting numbers. In order for their loosely organized plan to work, they need consensus among all miners, signalling transaction nodes, and transaction pools. The effect if they go full tilt is they will be the higher delay as they signal a low transaction fee no matter the extra information in their signalling. The condition of the Bitcoin network in reflection to transaction fee at this time 5amPST is 270-330 satoshis per byte for a quick transaction in less than 30min @ 69,000 transactions. And, the only effect I have seen from there FUD action is 15,000 transactions signalling 1-60 satoshis per byte in the 400 min delay time. This action they plan will only place them at the bottom of block completion as all blocks are worked on all at once. Placing, in effect, a marker on blocks may help them in their poorly programmed pool and of course would welcome everyone to do the same. If their implementation works, maybe pool will adopt it. Or, it doesn’t work and proves mining community resilience to minority voting FUD. The network will reflect behavior of the time over fees requirement and nothing else; want it fast pay more, want it large pay more. Just because it is crypto doesn’t mean it solved human nature. It is human nature. Remember, Chinese and New York, Cryptography is anti-social and ubiquitous at the same time if you can crack it. Only time will tell if you get the message. Stability, respect and timely payment is what a miner looks for when residing miners in your pool(s). We can tell that your pools siphon fees and are constructed for capture of high fees, large and empty blocks. Decentralization is the key, many smaller pools over a larger area. Be good to your individual miners and they will come back from around the world to participate.

  • Dr. Bubó

    Bitcoin penetration is still less than 1% of the world’s population, and those familiar with bitcoin still don’t use it several times a day. However, bitcoin already failed to serve as a fast, cheap and reliable new money and the 2mb block size and Segwit2x would not solve the problem, or if it does it will be only a very short-term solution.
    I am no developer, I work in finance. I don’t know what would be the right solution to the scaling problem, but I can see that if bitcoin aims to be main stream ever, it will need to cope with ten or hundred million times more transaction than it has now.

    • Andrea TheMuse

      Lightning network is the reply..

    • R.van Erven

      agree. it seems like the techies are doing some technology upgrade? is it needed? there is a lot if talk about risks – what are exactly the risks?

  • Ty Holt

    Segwit will be pushed through by means of Segwit2x, then the miners in Core’s pocket will back out of the hardfork, many will follow them due to fear of a chain-split, and from there Core gets exactly what they want (Segwit at 1mb block size).

    Yeah, let’s kick out Core by giving them exactly what they want, good plan..

  • Well, the Great Signalling has done something; skyrocketing fees with higher delay; 1200-50min range will cost you 60-360 satoshi per Byte; 360 used to get you a very sweet 15 minute transaction. The range has appx. 20k unconfirmed transaction in queue as of 14:30PST and appx. 110K in process waiting for confirmation. Or have the people just payed up to avoid issues. I get it…they need more time for it to work or is it working as designed???

  • R.van Erven

    this segwit2 or bit148 choices seems to be a very technical operation. in layman terms – what problem are we trying to solve? and what is the risk for the BC investor of lossing his/her investments with either option? and if we choose segwit2 or bit148 what does the enduser/invester need to do with is current Bitcoin chains?