Nick Szabo Suggests Bitcoin Core v30’s Expanded OP_RETURN Could Increase Legal Risks and Fuel Purist‑Maximalist Debate

• What changes: v30 revamps wallet format and lifts default OP_RETURN byte caps.

• Why it matters: larger OP_RETURN usage increases on-chain storage requirements and legal exposure for nodes.

• Timeline & testing: Bitcoin Core v30.0rc2 is released for testing; deployment targeted for October pending testing and debate.

Bitcoin Core v30 expands OP_RETURN data limits and updates wallets; learn the risks, timeline and how node operators can prepare. Read our concise analysis and next steps.

What is Bitcoin Core v30?

Bitcoin Core v30 is a new major release candidate (v30.0rc2) that modernizes wallet infrastructure and alters policy for on-chain non-monetary data by removing the default 80-byte OP_RETURN limit. The update focuses on wallet format simplification and broader allowance for embedded data while remaining in public testing through October.

How does the OP_RETURN change affect nodes and storage?

The OP_RETURN policy shift removes the standard 80-byte cap and can permit effectively unlimited data or outputs approaching nearly 4 megabytes each, which increases blockchain storage needs for full nodes. Full nodes must store any included data permanently, raising costs, bandwidth use, and potential spam risks unless fees or other mitigations limit abusive usage.

Bitcoin Core Project statements and release notes indicate v30.0rc2 is intended for broad testing. Debate centers on whether market fees alone are a sufficient “spam filter” for protecting the ecosystem of node operators and users.

Why are Bitcoin purists and maximalists divided?

Bitcoin purists argue the network should prioritize monetary transactions and minimize permanent on-chain storage unrelated to payments. They warn that large OP_RETURN payloads can bloat the blockchain, increasing long-term resource costs for everyone running a node.

Bitcoin maximalists counter that paying users should be allowed to use block space how they choose, and that market fees will discourage frivolous or malicious use. This philosophical split fuels heated discussion among developers, miners, and community stakeholders.

When did Nick Szabo comment and what did he say?

Nick Szabo returned to X after nearly five years to join the debate, warning that increased OP_RETURN allowances may heighten legal risks for node operators because harmful data could be more readily discoverable. He noted that network fees protect miners but may not sufficiently shield full-node operators from legal exposure.

Bitcoin pioneer Szabo returns to X to join the debate. Source: Nick Szabo

Szabo referenced case law noted by crypto litigator Joe Carlasare, which found node operators not liable when they lack knowledge or control of the data. Still, Szabo warned that data in standard formats could be more legally risky than prunable or obfuscated formats.

How can node operators prepare for v30?

Operators should review storage policies, prune settings, and node configuration options. Recommended actions include:

1. Confirm current disk, bandwidth and pruning settings and increase capacity if needed.
2. Test v30.0rc2 in isolated environments to evaluate memory, CPU and storage impact.
3. Monitor developer guidance and community proposals for opt-in/opt-out mitigations.

Frequently Asked Questions

Is OP_RETURN now unlimited in Bitcoin Core v30?

Policy changes in v30 remove the default 80-byte cap, potentially permitting much larger OP_RETURN outputs. Exact practical limits depend on implementation choices and consensus policy that may be refined during testing.

Are node operators legally liable for data on-chain?

Legal risk varies by jurisdiction. A court case cited by practitioners suggests node operators are not liable without knowledge or control of data, but experts like Nick Szabo warn that easily readable standard-format data could increase legal exposure.

Key Takeaways

• Major release: v30 updates wallets and OP_RETURN policy; v30.0rc2 is in testing.
• Storage impact: Expanded OP_RETURN increases long-term data stored by full nodes.
• Prepare now: Test the release, review pruning and capacity, and follow developer guidance.

Conclusion

The Bitcoin Core v30 release marks a significant policy and infrastructure shift, balancing developer innovation against operational and legal concerns. As testing continues, node operators and network stakeholders should prepare, test, and engage in the debate to shape practical mitigations and deployment timing.