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I do the same thing Elmo and never overwrite a file.

A million history states isn't going to help you if the power goes out or a drive crashes.

 

Bucket that number refers to history states.

Every step you take, every tool you use, every adjustment puts an entry in the History panel.

If you're set to 20 it will store 20 entires and then start over writing the old ones as you go on.

 

A larger number is better but you're using computer memory.

You need to find a balance that suites your work style and computer specifications.