Matthew Kratter: Bitcoin Core is Compromised - Here's Why

July 1, 2026·1h 27m

Show Notes

Matthew Kratter of Bitcoin University joins Michael Jordan on The Bitcoin Way podcast for a hard-hitting breakdown of the Bitcoin Core controversy: why Core developers are compromised, the network's migration to Bitcoin Knots, and what self-custody Bitcoiners must do now.

Matthew covers UTXO bloat from ordinals and inscriptions, the uncapping of OP_RETURN, and how Core devs prioritized theoretical bloat over real attack surface. With 20% of nodes already on Bitcoin Knots, he explains BIP-110 - the temporary soft fork to reverse Core's changes.

Plus: Michael Saylor's Ethereum DeFi pivot, the risks of Bitcoin-backed loans, and why Bitcoin plebs are the network's true immune system. Essential listening for anyone running a node, practicing self custody, or defending Bitcoin's decentralization.

🔑 Want to run your own node? Learn how to take 100% self-custody of your Bitcoin with us:

https://www.thebitcoinway.com/services/bitcoin-self-custody-training?utm_source=tbw&utm_medium=fountain&utm_campaign=podcast&utm_content=desc

🇵🇦 Interested in a Plan B Residency? Download our FREE Panama Residency Guide here:

https://www.thebitcoinway.com/services/plan-b-residency-programs?utm_source=tbw&utm_medium=fountain&utm_campaign=podcast&utm_content=desc

📖 Subscribe to our newsletter to stay up-to-date with all the latest Bitcoin news and memes:

https://www.thebitcoinway.com/resources/newsletter?utm_source=tbw&utm_medium=fountain&utm_campaign=podcast&utm_content=desc

📞 Schedule a FREE call with The Bitcoin Way team:

https://www.thebitcoinway.com/contact?utm_source=tbw&utm_medium=fountain&utm_campaign=podcast&utm_content=desc

⏱️ Timestamps:

0:00 - Intro & Core controversy

1:36 - How to spot a compromised dev

2:11 - The Fauci analogy