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A new proposal called “The Cat” is causing a major controversy within the Bitcoin community because it could permanently delete Ordinals and NFTs on Bitcoin.
This proposal aims to freeze and remove from the system millions of small UTXOs containing NFT data, citing that UTXOs are growing too rapidly and burdening the network.
However, many Bitcoin Core developers strongly oppose this, arguing that it constitutes asset confiscation, which goes against the principle that “Bitcoin cannot be revoked.” They also say that this approach does not truly block NFTs but instead undermines trust in Bitcoin.
Some supporters argue that removing “junk” data is necessary to reduce the long-term burden on the Bitcoin network. However, even they admit that accidentally deleting data at the consensus level could have very serious consequences and be nearly impossible to fix.
#CryptoMarketMildlyRebounds