Bitcoin developers plan to remove the OP_RETURN 80-byte limit in Bitcoin Core’s next release. Proponents argue it enhances transparency and data use, while critics fear it could lead to spam and drifting from Bitcoin’s financial purpose. Key voices in the industry, including Greg Sanders and Luke Dashjr, add to the ongoing debate about this significant change.
Bitcoin has hit a plateau in price stability as developers plan to eliminate the OP_RETURN limit in a soon-upcoming release of Bitcoin Core, which is the most popular node software. This decision has raised eyebrows and sparked a lively debate among the community of developers and node operators, focusing on concerns ranging from data transparency to fears of potential network abuse.
The OP_RETURN limit currently stands at 80 bytes, which restricts the amount of arbitrary data that can be included in a Bitcoin transaction via a specific unspendable output field. Greg Sanders, a contributor for Bitcoin Core, suggests that the removal of this limit might result in a cleaner UTXO set and consistent behaviour amongst transactions. He argues that large-data inscriptions are already taking place and that the current cap simply forces users to find less transparent methods for embedding this data.
However, not everyone is on board with this perspective. Notable critic Luke Dashjr has expressed strong concerns, comparing lifting the limit to “utter insanity.” He believes that such a move could lead to an increase in spam within the network and distance Bitcoin from its primary focus on financial transactions.
The divide in opinion is evident among developers and the broader community. While Sanders asserts that removing the cap promotes transparency and aligns with Bitcoin’s original ethos of minimal governance, critics warn that it paves the way for potential misuse. Dashjr’s position has led to a rising interest in Bitcoin Knots, a variant of Bitcoin Core that allows enhanced control over node operations and can block non-payment transactions, like inscriptions.
This development has also caught the attention of industry influencers. Samson Mow, known for his involvement in various blockchain ventures, advised node operators to reconsider upgrading to Bitcoin Core’s latest version and to perhaps consider Bitcoin Knots as an alternative. His tweets underline his concerns with the intended changes, suggesting that users might prefer to remain on version 29.0 or explore alternatives.
Critics are making their discontent known on GitHub, with some describing this move as a crucial turning point for Bitcoin. “This marks a fundamental shift,” declared a user voicing their apprehension. Another noted this could be the biggest mistake Bitcoin Core has made at this time, capturing the spirit of the ongoing internal conflict regarding the future direction of the network.
As the debate unfolds, we see Bitcoin’s vast ecosystem facing critical reflections on its core guidelines and future implementation strategies. Whether this change will sit well with the community or fuel further divisions remains to be seen as the release date approaches.
Sam Reynolds, a senior reporter based in Asia, previously contributed to the CoinDesk news team, recognised for their award-winning coverage related to the FTX collapse. Before that, he reported for Blockworks and has a background in semiconductor analysis with IDC.
CORRECT: (May 6, 08:14 UTC): Removed “former” developer from seventh paragraph.
