Added Bagginses-1.10-3.0.0 to my world, now, no blocks will drop when mining.
Set B:"Should bags be able to pick up items when dropped"=false, no change.
Set B:whitelist=false with no change.
Added a bag name in the json file with no change.
Put a bag in my inventory and chopped down a tree. No blocks in inventory or the bag.

No blocks drop when mining them. First noticed with a tree, got no wood blocks, then tried to mine dirt, nothing dropped. Also breaks the mod Veinminer. Tried Bagginses with and without veinminer with the same results.

Check with 3.0.0a please. I can't replicate this bug on that version.

Thank you sir, the 3.0.0a worked as expected.

Awesome. It was my mistake that caused the crash in the first place. Thanks for reporting it :)