Bitcoin Core to Remove OP_RETURN Data Limit

Bitcoin Core developers will lift the 80-byte OP_RETURN limit, enabling more data per transaction and sparking debate over process and network priorities.
Bitcoin Core to Remove OP_RETURN Data Limit
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Key Takeaways

  • Bitcoin Core will remove the 80-byte OP_RETURN data limit in its next release.
  • The change has been criticized for lacking community consensus.
  • Supporters say it improves network consistency and reduces harmful workarounds.

Bitcoin Core developers have decided to eliminate the long-standing 80-byte limit on OP_RETURN outputs in the upcoming software release, allowing more arbitrary data to be added to transactions.

The decision, announced by Bitcoin developer Greg Sanders on GitHub on May 5, follows proposal PR 32359 authored by Peter Todd at Chaincode Labs’ request.

Purpose & impact of OP_RETURN

The OP_RETURN function lets users store non-spendable data directly on the blockchain.

Initially capped to discourage overuse of block space, the limit has become ineffective as users adopted workarounds like fake output addresses, which some developers argue are worse for the network.

Sanders wrote:

Large-data inscriptions are happening regardless. The cap merely channels them into more opaque forms that cause damage to the network.

Goals of the change

The change aims to improve consistency across nodes, create a cleaner UTXO set, and better reflect how the Bitcoin network is actually being used.

The three options considered were keeping, raising, or removing the cap—developers ultimately chose full removal after what Sanders described as…

… broad, though not perhaps unanimous, support.

Controversy & criticism

The move has been controversial.

Critics like Samson Mow argue the change lacks consensus and encourages non-financial uses of Bitcoin.

Mow said on May 5:

Users can refuse to upgrade and stay on 29.0 or run another implementation.

Marty Bent of Ten31 Fund, pointing to growing frustration about the process and transparency of the decision, added:

There is no consensus at the moment on this OP_RETURN issue.

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