A major Bitcoin software update coming in October is reigniting deep divides in the community. The planned change will increase the OP_RETURN data limit, enabling significantly more non-financial content—such as images, text, and documents—to be stored directly on the Bitcoin blockchain.
📦 OP_RETURN Limit Raised to 4MB in Bitcoin Core 30
According to Bitcoin Core developer Gloria Zhao, version 30.0, set for release on October 30, will remove the long-standing 80-byte cap on OP_RETURN. Instead, each OP_RETURN output will be allowed to carry up to 4 megabytes of data.
The proposal, dubbed Merged Pull Request #32406, has already been supported by 31 Bitcoin Core developers, including lead author Peter Todd.
🔥 Controversy Reignites Over Non-Financial Data on Bitcoin
The change has split the Bitcoin community:
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Supporters argue this expands Bitcoin’s use cases, including NFT-like Ordinals, censorship-resistant publishing, and digital archives.
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Critics warn it will clutter the blockchain with “spam”, increase centralization risks, and compromise Bitcoin’s role as sound money.
Crypto investment firm Reforge’s co-founder Alexander Lin called it a “terrible mistake,” warning it threatens Bitcoin’s monetary integrity.
Meanwhile, Bitcoin Core devs like Zhao defend the change, stating:
“Bitcoin Core should not act as a gatekeeper. Users should decide how to use the blockchain.”
💬 Backlash from the Community
The update has already prompted strong reactions:
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Dennis Porter, CEO of Satoshi Action Fund, said his “faith in their work is now broken” and will no longer support Bitcoin Core devs.
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Jason Hughes, VP of Bitcoin mining firm Ocean, suggested he may leave the industry altogether.
Some fear this could fracture the development community and diminish confidence in Bitcoin’s direction.
📉 Bitcoin Core’s Market Share Is Falling
Since the proposal was introduced in April, Bitcoin Core’s node dominance has dropped from ~98% to around 88%, according to coin.dance. Most of that lost share has shifted to Bitcoin Knots, a client with a more conservative stance.
Bitcoin commentator Matthew R. Kratter warned that if this trend continues, Bitcoin Core’s dominance could drop to 20–30% within 1–3 years.
🧭 What’s Next for Bitcoin?
As the October update approaches, expect intensifying debate over Bitcoin’s identity:
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Is it just money, or a global data ledger?
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Should the protocol remain minimalist, or embrace innovation and experimentation?
Whatever the outcome, this change could be a turning point in Bitcoin’s evolution.
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