Bitcoin’s oldest and most dormant wallets, including those believed to belong to Satoshi Nakamoto, could be permanently frozen under a new developer proposal called BIP-361, introduced in April 2026.
The idea has split the Bitcoin community, with some supporting stronger security and others calling it a violation of Bitcoin’s core principles.
A group of Bitcoin developers, led by cypherpunk Jameson Lopp and five others, has proposed a new upgrade called BIP-361. It protects Bitcoin from future quantum computer attacks by changing how some addresses work. About 34% of Bitcoin, or 6.9 million coins, are still in older addresses that could be at risk.
This proposal builds on an earlier idea called BIP-360, which introduces a safer address type called Pay-to-Merkle-Root (P2MR), similar to Taproot but safer and more secure.
The main goal is to stop future quantum machines from breaking Bitcoin’s security and stealing funds.
Meanwhile, developers say this is a soft upgrade that improves safety without changing how Bitcoin works today.
A new proposal suggests a three-phase upgrade plan over several years.
Developers say freezing coins is a “push to upgrade.” If some coins are lost or frozen, other Bitcoins may become a little more valuable. But if quantum computers steal coins, it could badly harm Bitcoin’s value and trust.
Apart from the BIP-361 proposal, Coinpedia news recently reported that another Bitcoin developer, Olaoluwa Osuntokun, has built a prototype to protect wallets from future quantum attacks.
It allows users to recover funds even if Bitcoin’s current system becomes unsafe.
It uses zk-STARK proofs to prove ownership without exposing private keys. The system works in about 50 seconds on a normal MacBook, uses 12GB RAM, and creates a 1.7MB proof file. Developers say it can be improved further.
The Bitcoin community is strongly reacting to the new BIP-361 proposal. Many say no one should ever have control over someone else’s coins, not developers or any group.
Bitcoin is built on the idea: “not your keys, not your coins.” But also, once you hold your keys, your coins are yours forever. Critics say this plan goes against that bitcoin core principle because it could freeze old coins after a deadline.
They worry this could set a bad example. If coins can be frozen for one reason, it might happen again for other reasons in the future. This could blur the line between protecting Bitcoin and controlling it.
Industry experts, like Phil Geiger from Metaplanet, said,
“We have to steal people’s money to prevent their money from being stolen.”
Well, this is only a proposal, not an active change. If accepted, users would need to move funds to new addresses for safety.
If rejected, Bitcoin stays the same but may remain exposed to future quantum risks.
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