Bitcoin's Data Dilemma: Core v30 Sparks Debate

Bitcoin is facing a critical juncture as the Core v30 update approaches in October 2025. This update brings with it a contentious change: an increased OP_RETURN limit, which allows transactions to carry significantly more non-payment data. This has reopened a long-standing debate about the network's operational priorities and its response to evolving demands.

What's OP_RETURN?

OP_RETURN allows users to attach extra data to a Bitcoin transaction without impacting spendable coins. Proponents claim that expanding OP_RETURN provides a cleaner and safer way to add non-financial data to Bitcoin. Critics fear potential abuse, including spam, illegal content, and a shift away from Bitcoin's primary function as a medium of exchange towards general data storage.

A Decade-Long Debate

This debate has been brewing since at least 2010. Some, like Luke Dashjr, advocate for stricter relay rules, labeling non-financial data as "spam" and pushing for filtering. Others, such as Blockstream CEO Adam Back, warn that moderation could lead to censorship, jeopardizing Bitcoin's decentralized nature.

Concerns and Allegations

Allegations have surfaced suggesting that the increase in OP_RETURN limits is driven by projects that stand to gain from the changes. These allegations have been denied.

Legal Implications

The update also raises legal questions about liability for hosting harmful data, particularly regarding legal protections and the difference in liability for data stored in various parts of a transaction. Experts suggest that node operators' relay policies will have minimal impact on which transactions and data are included in blocks.

Community Division

Developer Leonidas accuses the Bitcoin Knots community of attempting to censor Ordinals and Runes transactions, alleging manipulation to create a moral panic. Erin Redwing emphasizes that existing data on the Bitcoin blockchain cannot be removed, while Lorenzo highlights the importance of maintaining Bitcoin's immutable nature.

Key Takeaways:

• Bitcoin Core v30's increased OP_RETURN limit is controversial.
• The debate centers on Bitcoin's purpose: medium of exchange vs. data storage.
• Potential risks include spam, censorship, and legal liability.
• The community is divided on how to handle non-financial data on the blockchain.