Bitcoin Legend Returns After 5 Years to Stir the Core Controversy

Last Updated on September 29, 2025

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Key Takeaways:

  • Nick Szabo reemerged after five years to warn about legal risks tied to Bitcoin Core v30’s proposed OP_RETURN changes.
  • The update could allow nearly 4MB of arbitrary data per transaction, prompting fierce debate between purists and maximalists.
  • Szabo cautioned that increased data storage might heighten full node liability due to unclear legal standards.

After nearly five years of silence, cypherpunk Nick Szabo has resurfaced to weigh in on the upcoming Bitcoin Core v30 release, expected in October

The update introduces a new wallet format and streamlined command-line functions, but controversy centers on proposed changes to the OP_RETURN opcode

Currently capped at 80 bytes, OP_RETURN allows users to embed arbitrary data into Bitcoin transactions. 

The update would lift this limit to nearly 4 MB per output, igniting fierce debate within the community.

Bitcoin purists argue the blockchain should remain strictly monetary, warning that expanded data storage could bloat the ledger, strain full nodes, and expose the network to harmful content

In contrast, Bitcoin maximalists maintain that as long as users pay transaction fees, they should be free to use block space, with market pricing serving as a natural deterrent to spam.

Szabo’s intervention highlights legal risks. He warned that while miners benefit from fees as a filter, full nodes gain no such protection, leaving operators potentially liable if illicit data is stored. 

His remarks have reignited debate over Bitcoin’s scope and the responsibilities of node operators.

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