Paul Sztorc announces eCash Bitcoin hard fork targeting Satoshi Nakamoto Patoshi coins at block 964000
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By Francesco Campisi profile image Francesco Campisi
4 min read

Paul Sztorc Forks Bitcoin: Satoshi's 1.1M BTC Put at Stake

Paul Sztorc announced the eCash Bitcoin hard fork on April 24, 2026, targeting block 964,000. The plan to reassign Satoshi's 1.1M BTC — worth ~$40B — has split

On April 24, 2026, Paul Sztorc — the developer behind Drivechain — announced on X a new Bitcoin hard fork named eCash, scheduled to activate at block 964,000 in August 2026. Every BTC holder will receive an equivalent amount of eCash tokens on the new chain at a 1:1 ratio.

That part is familiar territory in Bitcoin's fork history. What has ignited a firestorm is a second element: Sztorc intends to manually reassign fewer than half of the 1.1 million BTC in the Patoshi pattern — coins attributed to Satoshi Nakamoto that have not moved since 2010 — to fund early investors in the project. At current prices, roughly $40 billion in assets considered technically untouchable are suddenly in play.

BTC holders using a self-custody wallet will receive eCash 1:1 at block 964,000. BTC held on exchanges is subject to each platform's official fork policy. In EU jurisdictions, tokens received via fork are generally treated as income at fair market value at the time of receipt. Always record a timestamped screenshot of the price at the moment of credit.

Drivechain: Nine Years of Rejection, One Hard Fork

eCash is the operational manifesto of a battle Sztorc has fought since 2015. BIP-300 and BIP-301 propose sidechain anchoring to Bitcoin via merge mining, capable of adding smart contracts, privacy features, and DEX functionality without altering the base layer. Bitcoin Core developers have repeatedly rejected the proposals, citing miner centralization and security risks. Sztorc has now stopped asking for permission.

Back in 2017 the Bitcoin tech stack was strong, and expectations for Lightning were strong. Today is the reverse.

Seven drivechains are already in development: a Zcash-style privacy chain, the Truthcoin prediction market, the CoinShift DEX, and a quantum-resistant chain named Photon — a thread that connects to the broader debate on how to handle the 5.6 million BTC vulnerable to quantum computing.

The Community Calls It Theft — and the Data Back Them Up

The reaction has been fierce. Peter McCormack stated bluntly: Taking Satoshi coins is theft and disrespectful. Developer Calle described Drivechain as granting excessive authority to miners. Josh Ellithorpe of Pixelated Ink warned about the precedent: if the principle that dormant coins can be touched is accepted, no BTC is truly safe. A Grok scan of the first 60 replies to Sztorc's tweet recorded 80–85% negative sentiment.

📅
eCash Hard Fork

Roadmap to Block 964,000

April 24, 2026 — Live
Official Announcement
Paul Sztorc unveils the eCash hard fork on X, igniting community debate.
May – June 2026
Bug Bounty & Code Audit
Public security review and bounty contests open across the LayerTwoLabs codebase.
July 2026 — T-30 Days
Client Freeze
Final node software locked thirty days ahead of the fork. No more code merges.
August 2026 — D-Day
Block 964,000 — Hard Fork Live
eCash chain activates. BTC holders receive a 1:1 eCash distribution. Patoshi reassignment kicks in.
Post-Fork
Drivechain Rollout
Progressive activation of the seven drivechains: Truthcoin, CoinShift, Photon and four more.
Source: Paul Sztorc (@Truthcoin) · LayerTwoLabs
SpazioCrypto Research

What This Fork Means for BTC Holders Right Now

For BTC held in self-custody wallets, the mechanics are straightforward: 1 BTC = 1 eCash at block 964,000. Those holding BTC on centralized exchanges must wait for each platform's official fork policy before taking any action. Under MiCA and EU tax guidance, tokens received via fork are typically treated as income at fair market value at the time of receipt — keep a timestamped price record.

The single most important operational rule is this: wait for the official coin-splitter tool before moving any assets. A fork that challenges Bitcoin's immutability property — the very feature attracting institutional capital via ETFs — arriving days before the Fed's April 30 FOMC meeting is the kind of event markets are not yet equipped to price. Watch how major custodians such as Coinbase Custody and Fidelity Digital Assets respond to the fork announcement for the clearest signal of institutional sentiment.

what is the eCash hard fork proposed by Paul Sztorc?

eCash is a proposed Bitcoin hard fork announced by developer Paul Sztorc on April 24, 2026, scheduled to activate at block 964,000 in August 2026. It includes Drivechain technology (BIP-300/BIP-301) and controversially proposes to reassign a portion of the 1.1 million BTC Patoshi coins attributed to Satoshi Nakamoto.

what happens to my bitcoin if the eCash fork activates?

Holders with self-custody wallets receive eCash tokens at a 1:1 ratio at block 964,000. Holders on exchanges must follow the official policy of their platform. The new eCash chain is a separate network — your original BTC remains on the Bitcoin blockchain unaffected.

what are BIP-300 and BIP-301?

BIP-300 and BIP-301 are Bitcoin Improvement Proposals authored by Paul Sztorc that enable Drivechain sidechain technology. They allow merge-mined sidechains to add smart contracts, privacy, and DEX features to Bitcoin without modifying the base layer. Bitcoin Core developers have rejected them multiple times since 2015.

is reassigning satoshi's bitcoin legal or ethical?

Sztorc's plan to reassign part of the Patoshi pattern coins — roughly 550,000 BTC worth approximately $20 billion — has no legal precedent in any jurisdiction. Critics including Peter McCormack and developer Calle have called it theft, and 80–85% of early replies to Sztorc's announcement expressed negative sentiment.

how are forked tokens taxed in the EU?

In EU jurisdictions, tokens received via a hard fork are generally treated as ordinary income at the fair market value on the date of receipt. Rules vary by member state; in Italy, the Agenzia delle Entrate confirmed this treatment in its Risposta 397/2024. Always consult a qualified tax advisor before the fork activates.

By Francesco Campisi profile image Francesco Campisi
Updated on
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