Bitcoin community split over OP_Return limit removal plan from Core devs

Bitcoin Core developers plan to remove the long-standing 80-byte size limit on OP_RETURN outputs in an upcoming software release, a move that has sparked disagreement within the development community.

OP_RETURN allows small amounts of data to be embedded into Bitcoin transactions with an unspendable output (UXTO). The concept grew in popularity during the early 2024 ordinals and inscription boom.

According to Bitcoin Core contributor Greg Sanders, the update would completely eliminate the current 80-byte limit and “allow any number of these outputs." In a May 5 GitHub post, Sanders said that the restriction had outlasted its purpose and lifting the cap would encourage less harmful onchain behavior.

“The cap merely channels them into more opaque forms that cause damage to the network,” Sanders wrote, referring to large-data inscriptions and other participants that bypass the 80-byte threshold. “When the polite avenue is blocked, determined users turn to impolite ones. Some use bare multisig or craft fake output public keys that do enter the UTXO set, exactly the outcome OP_RETURN was invented to avoid."

Developers considered three options: keep the cap, raise it, or remove it entirely. The first two were deemed arbitrary and ineffective, while the third option garnered broad — though not unanimous — support, according to the GitHub discussion.

Sanders argued that lifting the cap would help maintain a cleaner UTXO set, reduce transaction burdens, and reaffirm simple, transparent rules within Bitcoin’s protocol.

Not everyone agrees. Critics including JAN3 CEO Samson Mow called the removal an “undesirable change for a number of reasons.” Marty Bent, managing partner at Ten31 Fund, noted on X that the proposal lacks broad consensus. Some community members worry the change could incentivize spam on the Bitcoin network, while others surmised that removing the 80-byte limit was performative and seemingly coercive.

The debate continues across GitHub and social media. Bitcoin Core developers have not set a release date for the proposed update.