Charles Hoskinson Claims Bitcoin's Quantum Solution is a Hard Fork that Fails to Protect Satoshi's Coins

Cardano founder Charles Hoskinson has expressed concerns over Bitcoin's proposed defense against quantum computer attacks, stating that it is both technically incorrect and incapable of safeguarding the network's earliest coins. In a recent video, Hoskinson argued that the proposal, known as BIP-361, is being misleadingly presented as a soft fork when it would, in fact, require a hard fork due to its impact on existing signature schemes. He emphasized that a hard fork is necessary to implement this solution, which contradicts Bitcoin's historical opposition to such forks. Furthermore, Hoskinson pointed out that BIP-361'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 Nakamoto, permanently frozen and unrecoverable. This is because these early coins were generated using a different key derivation method that does not support the required cryptographic proof. Hoskinson's critique extends beyond the technical aspects, highlighting the need for formal on-chain governance to facilitate structured decision-making processes for contentious upgrades, rather than relying on developer negotiations and social pressure.