What happened?
A major protocol update called Bitcoin Core 30 has been approved and is set to go live on October 30. This upgrade will remove the 80-byte OP_RETURN limit, allowing up to 4MB of data to be embedded in Bitcoin transactions. While supporters believe this enhances Bitcoin’s data capabilities, critics worry about potential centralization and deviation from its original purpose.
Who does this affect?
The update will affect Bitcoin developers, miners, and users as it changes how data can be embedded in transactions. It also impacts those interested in using Bitcoin for new applications such as NFTs and tokenized documents. The broader Bitcoin community is divided, and this decision may change how stakeholders interact with the network.
Why does this matter?
This update could have a significant impact on the Bitcoin market by potentially increasing network activity through new use cases. It has not negatively affected Bitcoin’s price initially; Bitcoin continues to show bullish signs with predictions of higher breakout levels. However, market participants are closely watching how this change influences both technical advancements and the overall cryptocurrency landscape.