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Bitcoin Core v30 Sparks Debate With Unlimited Data Update

Key Takeaways

  • ​Bitcoin Core v30 removes the 80-byte limit on OP_RETURN, which allows up to 4MB of data in each transaction output;
  • Some developers warn that storing more data on-chain could bloat the blockchain and raise long-term node costs;
  • Nick Szabo voiced concerns about legal and technical risks tied to easily accessible, prunable OP_RETURN data.

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Bitcoin Core v30 Sparks Debate With Unlimited Data Update

Bitcoin Core developers have shared a second test version of their upcoming software update, Version 30, expected to go live in October.

The update introduces a new system for wallet management and removes older features, but the most notable change involves the OP_RETURN function.

This feature lets users add extra information to Bitcoin BTC $113,923.66 transactions. Previously, there was a limit of 80 bytes for such data. The new version removes this limit, which possibly allows up to 4 megabytes of information per transaction output.

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Some developers and users believe Bitcoin should remain focused on transferring money, rather than handling large chunks of data. Their concern is that allowing more data storage will increase the size of the blockchain.

Nick Szabo, a Bitcoin pioneer, rejoined the conversation on X after nearly five years away. He stated that simply relying on fees might not offer enough protection for regular users who operate full nodes.

While fees help filter spam for miners, he noted that node operators could still face high storage demands.

Szabo also pointed out that because OP_RETURN data is easy to access and view using standard tools, it could be more likely to draw legal attention if it includes illegal content.

On the other hand, Szabo noted that OP_RETURN data can be pruned, which means it does not need to be stored forever, unlike other types of embedded data.

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Aaron S. Editor-In-Chief
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.
With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.
Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.
Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.

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