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If I understand the code correctly, it's not about rejecting blocks.
It's about noticing that >50% of recent blocks are declaring a version
number that is meaningless to you. Chances are, there's been a soft
fork and you should upgrade.

On 10/30/13 1:24 AM, Mike Hearn wrote:
> 
> But if you are getting soft-forked recent versions of the
> reference implementation WILL alert you; see this code in
> main.cpp:
> 
> 
> Perhaps I'm confused about how we're using the term soft fork. My 
> understanding is that this is where a new upgrade is designed to
> look valid to old nodes, and if you don't upgrade you rely on the
> miner majority to get you "back on track". For instance, P2SH was
> done this way - old nodes that didn't upgrade during that
> transition believed all spends of P2SH outputs were valid, even
> those spending someone elses coins.
> 
> In this case, the code you cite won't do anything because your
> client will never reject a block during a soft-forking upgrade,
> even if it does something that's supposed to be invalid or
> nonsensical.
> 
> If a new block version changes the serialization format or script 
> language or SIGHASH rules such that old clients reject the block,
> then they will end up on a hard fork and the alerting code will
> trigger, which is correct and as it should be.
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