Does it work as intended?

Is this something that is going to be/has been implemented or something that is happening accidentally?

Because damn near every gif is multiple MBs large.

yeah. 1mb is actually a very generous limit for most images however gifs are often times WAY bigger

unfortunatly about half of the gifs here are too big for my 3ds to fully load :'-(

Not really that generous. We prefer the highest resolution version of an image available without upscaling, which especially as of late can get to be pretty large. Since we also prefer the least compressed versions of these images, it isn't surprising for a PNG image only maybe 1000 pixels by 1500 pixels to be over a megabyte.

The sample versions of some PNGs that I just found in my folder are pretty near a megabyte.

Will this limit be permanent?

There are, I believe, several images that have been uploaded after the upgrade that are more than 1mb in size, I highly doubt it's something on our end. That said, I've let lozer know about this thread and we'll see what he has to say.

You can always go upload it to danbooru, if their upload size limit is different.

If it won't get approved there then chances are we probably don't want it here.

It doesn't need to be approved on Danbooru to make it over here, though. We import everything uploaded to Danbooru indiscriminately, in many cases likely before any of their janitors have even seen them.

Yeah, I'm getting a 413 Request Entity Too Large on anything 1 MB or larger.

Fixed according to lozer.