Key Takeaways:
Charles Hoskinson on April 17, 2026, dismissed claims that a new proposal could unlock 1.7 million pre-2013 Bitcoin, clarifying a key technical limitation.
"BIP-361's recovery mechanism requires BIP-39 seed phrases, a standard that did not exist when those wallets were created," Hoskinson, a co-founder of Ethereum and founder of Cardano, said.
The statement addresses speculation surrounding Bitcoin Improvement Proposal 361. The proposal's reliance on a 2013-era seed phrase standard makes it technically impossible to apply to the earliest Bitcoin wallets, including the approximately 1.1 million BTC attributed to Satoshi Nakamoto. These early coins were not created using BIP-39 mnemonic phrases.
Hoskinson's clarification is significant as it dampens speculation about a sudden 8% increase in Bitcoin's circulating supply. The confirmation that these coins remain locked reinforces the existing supply dynamics and prevents potential market volatility that could arise from false narratives about dormant coins re-entering the market.
This article is for informational purposes only and does not constitute investment advice.
