diff --git a/gutenberg b/gutenberg
index 563e2926a6..5d3c7a1393 160000
--- a/gutenberg
+++ b/gutenberg
@@ -1 +1 @@
-Subproject commit 563e2926a68b10e098b1387c9af1c35ee2446fb8
+Subproject commit 5d3c7a139381e3a34469c88cf0aa0d66dd708fef
diff --git a/src/block-management/block-manager.js b/src/block-management/block-manager.js
index 7e0ccfc13f..eabba2d52b 100644
--- a/src/block-management/block-manager.js
+++ b/src/block-management/block-manager.js
@@ -186,12 +186,6 @@ export default class BlockManager extends React.Component<PropsType, StateType>
 			return;
 		}
 
-		// TODO: there is a problem with block transformation
-		// let's stop here until we fix the problems with block transformation routine
-		if ( blockA.name !== blockB.name ) {
-			return;
-		}
-
 		// We can only merge blocks with similar types
 		// thus, we transform the block to merge first
 		const blocksWithTheSameType = blockA.name === blockB.name ?