Cardano founder Charles Hoskinson has criticized Bitcoin Improvement Proposal 361 (BIP-361), which addresses quantum computing risks, as being misleadingly labeled a soft fork. Hoskinson argues that implementing BIP-361 would actually require a hard fork, conflicting with Bitcoin's long-standing opposition to hard forks in its development culture. Hoskinson further contends that the proposal's reliance on a zero-knowledge recovery mechanism based on BIP-39 mnemonic phrases fails to account for approximately 1.7 million early Bitcoins, including about 1 million believed to belong to Satoshi Nakamoto. These assets, created before 2013, lack the necessary mnemonic structure, potentially leading to their permanent freezing if the current proposal is executed.