UPDATE, 11/10/17: Several companies including Bitmain (a large miner) have suspended Segwit2x efforts. We are still monitoring the situation, but we now believe that bitcoin miners will not activate the protocol change as expected.
Some background on Segwit2x
A majority of Bitcoin miners have signaled their intent to deploy Segwit2x, a Bitcoin protocol change which increases the base size of Bitcoin transaction "blocks" (groups of bitcoin transactions). The final part of this change is scheduled to occur when Bitcoin block #494,784 is mined. Right now, this protocol change will likely activate in mid-November.
In some cases, in-progress protocol changes can temporarily increase the risk of using the Bitcoin network for payments. These risks include the increased risk of double-spending transactions. When risks like these are present, we must take steps to protect our users.
How BitPay plans to respond to Segwit2x
To prevent payment risk for our merchants and for our services during the Segwit2x protocol change, BitPay will suspend bitcoin payment acceptance 24 hours before the protocol change begins. We will also be suspending bitcoin refund transactions during this period.
Bitcoin payment acceptance, bitcoin settlements, and bitcoin refunds will continue to be unavailable until we are sure that payment risks have passed.
FREQUENTLY ASKED QUESTIONS
Will I receive my settlement deposits?
BitPay's fiat bank settlements will continue to function normally. If you have a settlement balance above the settlement minimum for your currency before the protocol change, you will receive your normal settlement deposit.
We will be suspending bitcoin settlements during the protocol change. At least 24 hours in advance of the protocol change, BitPay will settle all spendable* BTC settlement balances to merchants receiving partial or full BTC settlement.
What about customer refunds?
Because bitcoin refund transactions will also be suspended during this period, we strongly recommend that you initiate any time-sensitive bitcoin refunds via your merchant dashboard at least 48 hours before BitPay suspends bitcoin payment acceptance.
Learn how to initiate bitcoin refunds from your merchant account.
Should I disable or hide my BitPay integration?
There is no need to hide or disable your BitPay integration, as we will be restoring service as soon as possible after the protocol change concludes.
if customers attempt to pay with Bitcoin during our payment acceptance suspension, we will display an error message allowing them to return to your website.
Could the bitcoin network split over Segwit2x?
While most bitcoin miners signaled their support of the Segwit2x protocol change, not all support it. If miners are divided over this change, there is a significant risk of a chain split.
If there is a network split, which block chain will BitPay's services use?
If a chain split occurs, BitPay’s services will follow the chain with the most accumulated difficulty. We will refer to the minority chain as BC1 (if Segwit2x is the majority) or BC2 (if Segwit2x is the minority).
Learn more about how BitPay will respond to a network split.
Will I be able to accept payments on the minority chain?
We have no plans to offer our services on the minority chain. Learn more about why BitPay processes payments on the block chain with the most accumulated difficulty.