Bitcoin’s governance landscape has once again become a battleground for debate, with recent allegations against a prominent developer adding fuel to the fire. The controversy centers on Luke Dashjr, a long-serving Bitcoin developer and maintainer of the Bitcoin Knots software, and claims that he advocates for a hard fork of the Bitcoin blockchain. This issue has ignited discussions about Bitcoin’s future, focusing on its immutability and the role of developers in shaping its path.
Allegations and Denials
The storm began on September 25, when an article from The Rage alleged that Dashjr was pushing for a hard fork that would establish a trusted multisig committee. This committee would reportedly have the authority to retroactively alter the blockchain, review transactions, and remove illicit content. Such a move, if true, would represent a significant shift in Bitcoin’s foundational principles, which emphasize decentralization and immutability.
According to The Rage, the allegations were based on leaked text messages purportedly from Dashjr, in which he allegedly stated, “Either Bitcoin dies or we have to trust someone.” The claims quickly spread across social media platform X, drawing vast attention and reigniting long-standing philosophical debates within the Bitcoin community.
Dashjr, however, swiftly rejected these claims. “The truth is I have not proposed a hard fork or anything of the sort, and these bad actors are just grasping at straws to slander me and try to undermine my efforts to save Bitcoin again,” he asserted. His denials were consistent and emphatic, as he reiterated multiple times that no hard fork proposal had been made.
Knots vs. Core: The Underlying Tension
At the heart of this controversy lies a deeper divide between Dashjr’s Bitcoin Knots project and the broader Bitcoin Core software, which is used by the majority of the network. Knots enforces stricter transaction policies, blocking non-financial data such as Ordinals inscriptions and Runes tokens. Dashjr and his supporters argue that these measures are necessary to protect Bitcoin’s monetary integrity and shield it from potential regulatory risks.
In contrast, Bitcoin Core developers have traditionally adopted a more permissive stance, allowing non-standard data as long as it does not disrupt consensus. This philosophical divide has fueled debates over Bitcoin’s role and purpose—whether it should remain a neutral settlement layer or become subject to active filtering to determine legitimate network use.
The alleged hard fork proposal touched a nerve within this ongoing debate. For Dashjr’s critics, it appeared to validate concerns that his vision would compromise Bitcoin’s immutability. For his proponents, the leak was seen as a strategic attempt to derail efforts to implement stronger spam filters.
Support and Skepticism
Among Dashjr’s defenders was Udi Wertheimer, co-founder of Taproot Wizards, a Bitcoin Ordinals project that might seem at odds with Dashjr’s approach. “Not a Luke fan but this is a hit piece and fake news. He is not proposing this,” Wertheimer posted on X, addressing the supposed hard fork plan.
Wertheimer argued that the leaked messages were part of a hypothetical discussion about employing zero-knowledge proofs to allow Knots nodes to avoid downloading “spam.” He dismissed the controversy as a “nothing burger,” indicating that the proposal would neither censor nor split the network and would remain compatible with Bitcoin Core.
Market Reactions and Broader Implications
The timing of the controversy coincided with a 2.2% drop in Bitcoin’s price, with BTC trading around $109,000 at the time, marking a decline of over 5.5% in the past week. While there’s no direct evidence linking this market movement to the Dashjr allegations, the coincidence is notable. In the volatile world of cryptocurrency, uncertainty alone can amplify downward pressure, and rumors of potential protocol upheavals tend to exacerbate these effects.
As the debate over Bitcoin’s governance and future continues, the community remains divided on the best path forward. The clash between maintaining Bitcoin’s status as a neutral, immutable ledger and implementing measures to protect its integrity from external threats will likely persist. For now, Luke Dashjr’s denials have done little to quell the discussion, and the Bitcoin community remains on edge, watching closely as events unfold.
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
