Following the failed BIP-110 fork, another hard fork is approaching Bitcoin to create a new crypto asset called ecash (ECX). The project is led by Paul Sztorc, founder of Layertwo Labs and longtime Bitcoin developer also known as Truthcoin.
The initiative aims to create a separate network that copies Bitcoin's transaction ledger at designated snapshots, handing most bitcoin holders an equal number of coins on the new chain. A user holding 1 BTC in a self-custody wallet at the snapshot will receive 1 ECX on the new network, while the original BTC remains unchanged. The fork will run its own software settings, mining difficulty, nodes, and economic activity.
Three-Phase Launch Schedule
The ECX rollout is structured into three distinct phases:
- Alpha Phase: Begins around Bitcoin block height 963648 as a live-fire rehearsal. Participants can run software, mine, trade practice coins called pECX, test wallets, and check for system issues.
- Beta Phase: Scheduled around Sept. 20 at Bitcoin block height 967680, focusing more heavily on exchanges, wallet providers, miners, and custodians.
- Mainnet Phase: The permanent mainnet is scheduled for Oct. 31 near Bitcoin block 973728, coinciding with the 18th anniversary of Satoshi’s Bitcoin white paper. Permanent ECX balances will be created at this snapshot alongside the launch of specialized sidechains.
Drivechains and Sidechains
Sztorc has spent over a decade advocating for Drivechains, proposed via BIP 300 and BIP 301 in 2017 and 2019, which allow Bitcoin to support optional sidechains without rewriting rules for every user. Because those proposals did not gather enough support to activate via a soft fork on Bitcoin, Layertwo Labs decided to pursue a separate hard fork.
ECX plans to launch with seven specialized sidechains:
- Thunder: High-throughput payments
- Zside: Shielded transactions
- Bitnames: Decentralized identity
- Bitassets: Token issuance
- Photon: Quantum-resistant signatures
- Truthcoin: Prediction markets
- Coinshift: Cross-chain trading
Network Rules and Satoshi's Addresses
The project utilizes the same SHA-256d mining algorithm as Bitcoin and keeps its base layer close to Bitcoin Core. However, it operates its own network identifier and ports to prevent ECX nodes from connecting to Bitcoin, and it will reset mining difficulty to the minimum at launch.
Regarding roughly 1.1 million early Bitcoin coins associated with Satoshi Nakamoto through the Patoshi pattern, about 600,000 ECX will remain assigned to those addresses, while roughly 500,000 ECX will be redirected through special transactions to early investors and development funding. This mechanism is intended to finance the network without an initial coin offering, without touching Satoshi's actual BTC.
Self-Custody and Claiming Coins
Individuals holding BTC in self-custody wallets should be able to access their corresponding ECX directly because they control the private keys. Those keeping BTC on exchanges or with other custodians must rely on whether those institutions choose to support the fork and distribute the asset.
Project documentation notes that ECX has no connection to XEC, a separate cryptocurrency that also uses the name ecash. The main test for ECX will take place after the Oct. 31 mainnet launch, as the network works to deploy functioning sidechains, stable software, exchange support, and sufficient miner participation.
