Avatars: Are we able to change them or are they just broken?

[XR-7]

the size of the file itself doesn't matter

From my experience, it does.  I had a problem with it once and realized I was using a 30kb image.  I compressed it to 2.74kb and it worked.

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[Night Fox]

coincidence
either a. you're lying (that is a huge gd difference so this is pretty likely) or b. compressing it changed the "file header," which is the problem according to the people who made SMF