According to @adam3us, Bitcoin should organize how it socializes protocol changes to avoid developer infighting between dogmatic crusaders and strictly technical arguers, underscoring governance as an operational risk for the network; source: Adam Back on X, Oct 12, 2025 https://twitter.com/adam3us/status/1977419936235729077. For traders, governance flashpoints have historically coincided with notable BTC price swings during major upgrades such as SegWit activation in Aug 2017 and Taproot activation in Nov 2021, reinforcing the need to monitor upgrade discourse as a volatility catalyst; sources: SegWit activation confirmation by Bitcoin Core https://bitcoincore.org/en/2017/08/23/segwit-activated/ and BTC-USD historical data https://finance.yahoo.com/quote/BTC-USD/history, Taproot activation parameters by Bitcoin Core https://bitcoincore.org/en/2021/05/01/release-0.21.1/ and BTC-USD historical data https://finance.yahoo.com/quote/BTC-USD/history. Near term, monitor the Bitcoin-Dev mailing list, BIPs on GitHub, and activation dashboards to gauge coordination progress and potential sentiment shifts that can move BTC; sources: Bitcoin-Dev https://lists.linuxfoundation.org/pipermail/bitcoin-dev/, Bitcoin Improvement Proposals https://github.com/bitcoin/bips, Taproot Watch https://taproot.watch.

According to @BitMEXResearch, Bitcoin has repeatedly faced spam-like transaction waves across its history, including Single Satoshi Spam (2011, 2014), Satoshi Dice (2012), an 85-output attack (Apr 2013), Sochi spam (2014), Coinwallet.EU waves (2015), Giv3r (Aug 2015), Omni/Tether and Counterparty high-volume eras, a 2016 busy week, 51-output wallet spam (Mar 2017), Bestmixer (Oct 2018), Veriblock (2019), momo (2020), and 2023 Ordinals and BRC-20 plus Babylon Labs Taproot spam, with 2025 Runes, Stamps, BRC2.0 and 2026 RGB also noted. Source: @BitMEXResearch, Twitter, Oct 8, 2025. For traders, the post’s repeated references to huge volume and spam signal ongoing fee market and mempool congestion risk during such surges, warranting proactive timing of BTC deposits, withdrawals, and on-chain arbitrage around potential fee spikes and confirmation delays. Source: @BitMEXResearch, Twitter, Oct 8, 2025.

According to @Excellion, OP_RETURN2 is a potential Bitcoin soft-fork concept proposing a cheaper, fully discardable OP_RETURN2 annex not included in transaction hashes, limiting OP_RETURN via consensus rules, and removing the SegWit discount. Source: https://x.com/Excellion/status/1974608749429137533 Removing the SegWit discount would increase the effective weight of witness data toward 4 weight units per byte (like base data) from the discounted 1 weight unit, directly raising fees for witness-heavy transactions per the BIP-141 weight formula. Source: https://github.com/bitcoin/bips/blob/master/bip-0141.mediawiki Ordinals inscriptions embed content in Taproot witness data, so higher witness costs would directly raise on-chain inscription costs and could reduce activity in inscription-heavy markets such as BRC-20. Source: https://docs.ordinals.com/inscriptions.html Soft-fork proposals are typically discussed on the bitcoin-dev mailing list and formalized as BIPs, creating public milestones traders can monitor for potential timing and market impact on BTC fees and throughput. Source: https://lists.linuxfoundation.org/mailman/listinfo/bitcoin-dev

According to @Excellion, Bitcoin’s core design has been set in stone since version 0.1 and Core contributors should be viewed as node software developers rather than protocol designers, citing Satoshi Nakamoto’s statement to that effect (source: @Excellion on X, Sep 12, 2025; source: Satoshi Nakamoto on Bitcointalk, 2010). For traders, this points to a low probability of base-layer rule changes affecting issuance or consensus, with Bitcoin’s fixed supply and halving schedule documented in developer materials (source: Bitcoin.org Developer Guide; source: Bitcoin Core documentation). Recent upgrades such as Taproot were activated via backward-compatible soft forks, underscoring a conservative L1 change process that limits protocol governance risk (source: BIP341 and BIP342; source: Bitcoin Core release notes).

According to Adam Back, Bitcoin is already censorship resistant, with encoding channels remaining porous via Taproot and fake public keys. Source: Adam Back on X, Sep 2, 2025. He also contends that even BitMEX Research's so-called detectable kill-shot private key encoding becomes undetectable in the limit, urging critics to drop the censorship narrative. Source: Adam Back on X, Sep 2, 2025.

According to @BitMEXResearch, Bloomberg reported that an additional $250 million has gone into Taproot, highlighting continued capital inflows tied to the Bitcoin ecosystem (source: @BitMEXResearch; Bloomberg). Traders can reference the Bloomberg report shared by @BitMEXResearch on August 19, 2025 to assess headline-driven interest in Bitcoin (BTC) infrastructure funding (source: @BitMEXResearch; Bloomberg).

According to BitMEX Research, citing data from @0xB10C, Bitcoin's Taproot upgrade is experiencing rapid and successful adoption. Over the last 30 days, 8.6% of all Bitcoin (BTC) transaction outputs, measured by value, were sent to Taproot addresses. BitMEX Research noted that this adoption is 'growing very fast' and described the success as 'tremendous.' For traders, this increasing utilization of a key network upgrade could signal growing network health and efficiency, potentially serving as a bullish long-term indicator for Bitcoin's fundamental value.

According to Dean 利迪恩 (@deanmlittle) on Twitter, the Bitcoin network continues to evolve with key protocol upgrades such as P2SH, SegWit, Taproot, and Lightning. These improvements have drastically enhanced transaction speed, scalability, and privacy, making Bitcoin more attractive for high-frequency trading and large-scale institutional participation. Specifically, P2SH allows for complex transactions, SegWit reduces fees and increases capacity, Taproot boosts privacy and smart contract functionality, and Lightning Network enables near-instant, low-fee payments. Traders are leveraging these advancements to optimize arbitrage strategies and reduce slippage, directly impacting crypto market liquidity and volatility (source: @deanmlittle, May 8, 2025).

According to BitMEX Research, the use of Taproot in Bitcoin transactions, despite potential negative perceptions, ultimately contributes to driving transaction fees. The tweet questions whether the usage of technologies like Babylon Taproot is inherently negative or if it supports mechanisms like EigenLayer staking. Additionally, it highlights the behavior of users spending Taproot outputs to transfer funds to exchanges such as Binance, potentially for purchasing questionable assets.

According to BitMEX Research, the adoption of Taproot in the cryptocurrency market is noteworthy because it has occurred without specific user incentives, unlike the previous SegWit upgrade. This implies a strong organic growth and acceptance of Taproot among users.

According to BitMEX Research, the implementation of Taproot in the Bitcoin network is considered a success. This statement suggests that Taproot has achieved its intended improvements, potentially enhancing Bitcoin's privacy and efficiency. Traders might view this as a positive development for Bitcoin's technology and future scalability.

According to BitMEX Research, if they were asked back in 2020, they would have predicted that the adoption of the Taproot upgrade would take many years and proceed more slowly than previous Bitcoin upgrades like P2SH and SegWit. Historically, these upgrades have taken years to gain traction, with P2SH activating in April 2012.

According to BitMEX Research, the initial design of Bitcoin as a permissionless peer-to-peer cash system has evolved. Presently, it is predominantly utilized for NFTs and transactions between regulated custodians. BitMEX Research acknowledges this shift as a valid critique but clarifies that it is not a consequence of Taproot or the actions of the Core developers.

According to BitMEX Research, Taproot has achieved significant success in the Bitcoin network. In April 2023, the volume of Taproot outputs surged to nearly 30% of all Bitcoin outputs, largely propelled by the Ordinals project. This increase in usage, although not initially intended, highlights the adaptability and robustness of Taproot's design. Such unforeseen applications underscore the value of flexible and versatile protocol designs in the crypto space.

According to BitMEXResearch, SegWit has been highly successful, now representing approximately 97% of all Bitcoin transactions, indicating strong adoption and implementation by Bitcoin Core. Additionally, Taproot is gaining traction with over 100,000 BTC currently stored in Taproot addresses, and this number is rapidly increasing. This reflects growing confidence and usage of these Bitcoin protocol upgrades.

According to BitMEX Research, Babylon, a Bitcoin-based staking system, has accumulated inflows of 24,000 BTC, demonstrating the success of the Taproot upgrade. The research suggests that Babylon's performance is evidence of Taproot's effectiveness as a significant and beneficial enhancement to the Bitcoin network.