Bitcoin Core developers have released the second test version of the Bitcoin Core v30 update, introducing new wallet formats and data inclusion in October. The update phases out older wallet structures, simplifies commands, and removes the OP_RETURN limit, potentially allowing up to nearly 4 megabytes per transaction output.

Bitcoin purists argue the network should only be for financial transactions, not data storage, as excessive OP_RETURN usage bloats the blockchain, increasing costs. However, Bitcoin maximalists believe users should be able to use block space as they wish, with market forces naturally limiting malicious usage through fees.

Bitcoin pioneer Nick Szabo returned to X to weigh in on the debate, expressing concerns that increasing the OP_RETURN allowance may worsen legal risks. He highlighted a court case ruling that node operators are not liable for data they don’t control. Szabo suggested that allowing more data on OP_RETURN could reduce legal risks.

Some believe Szabo is Bitcoin’s pseudonymous creator, Satoshi Nakamoto, though he denies this. Szabo joined Jan3 as chief scientist in January. The ongoing debate between developers and the testing of the new update is expected to culminate in deployment around late October.

Read more at Cointelegraph: Bitcoin Core V30.0 Sparks Controversy Over Data Limits