Charles Hoskinson Claims Bitcoin's Quantum Solution is a Hard Fork That Cannot Rescue Satoshi's Coins

Cardano founder Charles Hoskinson expressed his concerns regarding Bitcoin's proposed defense against quantum attacks in a recent YouTube video, stating that it is technically flawed and incapable of safeguarding the network's oldest coins, including those attributed to Satoshi Nakamoto. He criticized the BIP-361 proposal, which aims to phase out quantum-vulnerable addresses, as being mislabeled as a soft fork when it would actually require a hard fork due to its impact on existing signature schemes. Hoskinson argued that the proposal's reliance on zero-knowledge proofs tied to BIP-39 seed phrases would leave approximately 1.7 million pre-2013 bitcoins, including those associated with Satoshi's early mining activity, permanently frozen. He attributed this to the fact that these early coins were generated using a different key derivation method, making it impossible for their owners to provide the necessary cryptographic proof for migration. Core developer Jameson Lopp, who co-authored BIP-361, acknowledged the proposal's limitations, describing it as a rough idea for a contingency plan rather than a finalized specification. Hoskinson's critique extends beyond the technical aspects, highlighting Bitcoin's lack of formal on-chain governance as a major obstacle in resolving such tradeoffs through a structured process.