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From: Murch <murch@murch•one>
To: bitcoindev@googlegroups.com
Subject: Re: [bitcoindev] [BIP Proposal] Proof-of-Activity Reclamation (PoAR)
Date: Tue, 15 Jul 2025 15:02:04 -0700	[thread overview]
Message-ID: <634ea7a6-1695-46e8-a337-1fef1ac17a66@murch.one> (raw)
In-Reply-To: <a186c724-eef7-4964-9aba-85ae9cce2249n@googlegroups.com>

Hi Donald and all,

The idea of recycling dormant coins is one that has made the rounds 
several times before, including in the form of the "Bitcoin Dormant 
Recovery Proposal" just a couple months ago: 
https://github.com/bitcoin/bips/pull/1852

I don’t have the impression that the idea has been particularly popular, 
and as BIPs go, this one is missing crucial parts, e.g.:

• A more comprehensive motivation based on thorough analysis how 
redistributing dormant coins improves the system as this constitutes a 
departure of the status quo for the supply schedule
• Specification of the redistribution rate and mechanism
• Specification of the out-of-band activity proof mechanism and how this 
out-of-band information would be introduced into the Bitcoin system as 
consensus critical information, and discussion of alternative approaches 
and why this is the correct approach
• Rationale for reclaiming dormant coins at halvings rather than UTXOs 
expiring after a fixed number of blocks
• An analysis of the backward compatibility, including especially the 
discussion of how to conduct this hard fork

In its current state, I would consider this document premature for a 
pull request and would encourage further development. Generally, the 
arguments and reasoning used in the motivation and rationale will need a 
lot more work to make a hard fork and a change in the economic paradigm 
palatable.

Cheers,
Murch

On 2025-07-10 15:55, 'Donald Dienst' via Bitcoin Development Mailing 
List wrote:
> Dear Bitcoin developers,
>
> I would like to propose a new BIP titled "Proof-of-Activity 
> Reclamation (PoAR)," which aims to address the long-term economic 
> effects of lost and abandoned UTXOs.
>
> This proposal introduces a fully automated and rule-based mechanism to 
> gradually recycle coins that have been provably inactive for over 20 
> years. These coins are returned to the undistributed pool and slowly 
> reintroduced via future block rewards—extending miner incentives while 
> respecting the 21 million BTC cap.
>
> You can view the full proposal here:
> https://gist.github.com/Brandchatz/56c39d289db9e56190c13922850815b8
>
> I welcome your thoughts, suggestions, and critiques.
>
> Best regards,
> Donald Dienst
> dddienst@protonmail•com --
> You received this message because you are subscribed to the Google 
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> To view this discussion visit 
> https://groups.google.com/d/msgid/bitcoindev/a186c724-eef7-4964-9aba-85ae9cce2249n%40googlegroups.com 
> <https://groups.google.com/d/msgid/bitcoindev/a186c724-eef7-4964-9aba-85ae9cce2249n%40googlegroups.com?utm_medium=email&utm_source=footer>.

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  parent reply	other threads:[~2025-07-15 22:04 UTC|newest]

Thread overview: 7+ messages / expand[flat|nested]  mbox.gz  Atom feed  top
2025-07-10 22:55 'Donald Dienst' via Bitcoin Development Mailing List
2025-07-15 18:48 ` Christian Riley
2025-07-15 19:07 ` Lucas Barbosa
2025-07-15 19:28 ` [bitcoindev] " Boris Nagaev
2025-07-15 21:58   ` 'Donald Dienst' via Bitcoin Development Mailing List
2025-07-15 22:02 ` Murch [this message]
2025-07-16 20:49   ` [bitcoindev] " Peter Todd

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