Feature list from Frank Truscott:
Officially end support for PHP4, though no effort has been made yet to implement any PHP5-only things, so it is likely to work in PHP4 still.
Start moving toward use of complete sql_* api for access to database. This should allow easier use of other backend db engines, like pdo or sqlite, but only MySQL will be officially supported in 3.5. Plugin developers should start making their plugins support the sql_* api once 3.5 is out and builds an install base. (supportsFeature SqlApi)
Ping removed from core completely into NP_Ping
NP_Text included and installed by default
New
API events to allow for some password checking and failed login attempt limits
NP_SecurityEnforcer included with core to make use of above events
Plugin help file now links to english and japanese plugin repositories
New variables:
<%catiscurrent%>, <%currentcat%> - Category List, yes if category is currently selected, otherwise no
<%sticky(itemid,template)%> - skin var, simple sticky (or display item anywhere)
<%archiveyearlist(template,category,limit)%> - skinvar, list archives by year.
<%otherarchiveyearlist(blogname,template,category)%> - skinvar, list archives by year for given blog
Active check in admin page for new nucleus version including alert if newer version is available.
selectSpecilaSkinType() function added to globalfunctions to permit selecting a special skin part in an index file
New variable $CONF['ActivationDays'], settable manually in config.php, to customize how long users have to activate account. default is still 2 days.
Some changes to handle oddities of PHP5.3
Various bug fixes.