Bitcoin Core’s OP_RETURN limit removal divides crypto community

Bitcoin Core’s reportedly planned removal of the long-standing OP_RETURN limit has sparked sharp division across the ecosystem.

The upcoming release will, by default, lift the 80-byte ceiling that previously restricted transaction-embedded data, positioning the change as a modernization of policy in response to shifting network practices.

OP_RETURN

Originally introduced as a soft deterrent, OP_RETURN allowed users to embed small, provably unspendable data without bloating the unspent transaction output (UTXO) set. The limit aimed to prevent abuse while enabling legitimate use cases such as timestamping or cryptographic commitments.

Yet the cap has increasingly proved ineffective. Developers, including Greg “instagibbs” Sanders, argued that determined actors bypassed restrictions through opaque alternatives that undermined network health.

In a public statement, Sanders noted that “large-data inscriptions are happening regardless,” adding that the existing ceiling merely shifted these activities into more damaging formats.

Bitcoin Core’s policy shift removes what was seen internally as an outdated and counterproductive rule. Pull requests #32359 and #32406 formalized the change, with the latter also deprecating the “-datacarriersize” parameter.

These moves align Core’s behavior more closely with how miners and other node implementations already operate. Unlike consensus rules, which govern what can be included in blocks, standardness rules such as the OP_RETURN cap primarily dictate how transactions are relayed across the peer-to-peer network.

OP_RETURN limit removal

As such, removing the ceiling does not force consensus but recalibrates policy to match real-world conditions.

Criticism has nonetheless been vocal. Some prominent figures view the decision as undermining Bitcoin’s minimalist ethos. Luke Dashjr, maintainer of Bitcoin Knots, an increasingly popular alternative client with almost 5% of nodes, described the removal as “utter insanity.”

Samson Mow, CEO of Jan3 and an outspoken Bitcoin advocate, suggested operators who wish to reject the change can do so by running Knots or staying on older versions of Bitcoin Core.

Per Mow, maintaining stricter relay policies is essential to preserve Bitcoin’s role as a global, censorship-resistant monetary network.

However, Mow pragmatically commented that the removal of the limit has its advantages,

“Delete the cap. Aligns default policy with actual network practice, minimises incentives for…