Fractal Bitcoin has completed its first halving at block 2,100,000, triggering the FIP-102 consensus upgrade and lowering the network’s block reward to 6.25 FB. The project said nodes and indexing services were operating normally during the first 10 minutes after activation.

The change also reserves an equivalent 6.25 FB per Fractal block as an emission budget for future distribution on the Bitcoin mainnet. Fractal said the new structure does not increase FB’s total supply and does not create a separate supply for tokens issued through Bitcoin.

How FIP-102 changes FB issuance

Under FIP-102, Fractal’s first scheduled halving reduced the block reward from 25 FB to 12.5 FB. At the same time, the proposal effectively pulled forward the network’s second halving, cutting the reward distributed on Fractal again to 6.25 FB.

The other 6.25 FB per block equivalent is not added on top of existing issuance. Instead, it has been assigned to a Bitcoin mainnet distribution budget that Fractal plans to release progressively after the upgrade. According to the project, the arrangement keeps FB within a single unified supply.

Supply stays fixed across Fractal and Bitcoin

Fractal said the upgrade is meant to prepare FB for distribution on Bitcoin itself rather than restricting new issuance to activity on the Fractal network. The plan calls for a 1:1 conversion between FB on Fractal and FB on Bitcoin mainnet.

The project also said its three existing mining mechanisms will keep their 1:1:1 distribution ratio under the new structure. While the distribution venue is expanding, Fractal’s position is that total FB supply remains unchanged.

Rollout details still to come

The project said distribution on Bitcoin mainnet is expected to be introduced gradually over about three months. Testing is targeted for the fourth quarter of 2026, with a full rollout planned for the first quarter of 2027.

Further implementation details are expected in FIP-103. Fractal said that proposal will define eligible interactions, distribution mechanisms, rollout requirements, and how users will be able to convert FB between Fractal and Bitcoin.

Network background and next steps

Fractal said it will continue monitoring the network following the halving and asked users to report any service-related issues. The reward reduction follows the broad model used by Bitcoin, where scheduled halvings reduce new issuance over time.

Fractal mainnet launched in September 2024 using Bitcoin Core code and the same SHA-256 hashing algorithm as Bitcoin. In November 2024, Binance Pool started supporting Fractal Bitcoin merged mining, allowing Bitcoin miners to receive FB rewards in external wallets. The next confirmed milestone is the publication and implementation path of FIP-103 ahead of testing later in 2026.

Source: crypto.news