[FreeFull]

How would that work for having a layer larger than the image?

[beAbU]

The layer is automatically masked by the boundaries of the image. This is how it works in most other layer based tools that I've seen.

[dijit]

Isn't this a severe limitation of rasterized image editors?

(Speaking from ignorance as someone who only did some mild graphics design work using fireworks in the mid-00's for forums).

Would it mean that anything that exists outside of the visible canvas would be cropped on save?

[p0nce]

I could live with that.