Build limit should be higher and y0 should stay the bottom
Raisong the buildlimit is a great idea, but lower it in the negatives is weird. Old worlds updating to 1.17 will have massive voidperimeters under the bedrock. If the buildlimit is simply raise up by 128 blocks on top, it will be less drastic to old worlds and new chunks generated could have step by step in height for a natural look.
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