A Slovak developer has stirred controversy within the Bitcoin community by successfully encoding a 66KB image into a single Bitcoin transaction. This action, executed by Martin Habovštiak, raises questions regarding the implications of the ongoing debate surrounding BIP-110, a proposal aimed at imposing limitations on non-payment-related data within Bitcoin transactions.
The encoded image features a depiction of Luke Dashjr, a prominent supporter of the BIP-110 initiative, in a state of distress. Habovštiak described this experiment as a method to explore the practical consequences of BIP-110, which seeks to introduce constraints on the types of information recorded on the Bitcoin blockchain.
BIP-110 was formerly known as BIP-444 before it was renamed in October 2025. This proposal outlines a soft fork intended to mitigate blockchain spam through a series of seven new transaction validity rules and restrictions on certain scripting functions. One of the proposed changes includes a cap on OP_RETURN outputs to 83 bytes, along with a limit of 256 bytes on individual data pushes, effectively banning certain opcodes.
Proponents of BIP-110 argue that extraneous data poses legal and operational risks to node operators and detracts from Bitcoin”s primary function as a monetary system. Early criticism from Dashjr, the CTO of Ocean mining pool and creator of Bitcoin Knots, highlighted concerns about the spam-like nature of such data.
In his experiment, Habovštiak did not utilize OP_RETURN, OP_IF, or Taproot, opting instead for SegWit v0. Observers noted that this choice directly challenges the core of BIP-110″s restrictions. Habovštiak contends that his transaction demonstrates the potential to circumvent BIP-110 limitations.
He stated that the image was encoded as an adjacent file within the witness data, asserting that a BIP-110-compliant fork could interpret this as a single on-chain transaction. However, a user on X countered this claim, arguing that the protocol-level transaction wasn”t contiguous. Habovštiak countered that the critic employed a restrictive interpretation of the term.
Furthermore, Habovštiak claimed to have developed an alternative version of the transaction that adhered to BIP-110 limits, which he asserted was significantly larger than his initial attempt. He suggested that such limitations would not necessarily reduce the total data on the blockchain but could inadvertently lead to increased data storage.
This demonstration was conducted on the mainnet, emphasizing the importance of real-world testing over theoretical analysis. Habovštiak”s actions have taken place amid escalating tensions between supporters of Bitcoin Knots and Bitcoin Core, centered on the types of data permissible on the network.
Currently, around 8.8% of nodes support BIP-110, while the adoption of Bitcoin Knots nodes has surged by a factor of ten over the past year. Habovštiak characterized his transaction as a proof of concept, asserting that he kept the code confidential to prevent misuse for NFT creation. His stance remains critical of blockchain spam while challenging what he perceives as misleading narratives.
The broader discourse regarding the extent of data restrictions on the Bitcoin network is likely to continue as node operators assess the proposal”s effectiveness and intentions.
