Summary:
• The number of Ordinals inscriptions on the Bitcoin network has almost doubled in the past 8 days.
• This surge is due to a new token standard known as BRC-20, which allows users to mint text-based fungible tokens.
• Data from Dune Analytics shows that 99% of all new Ordinals inscriptions since April 25 have been text-based.
Surge in Ordinals Inscriptions
The number of Ordinals inscriptions on the Bitcoin (BTC) network has witnessed an impressive 92% growth in just eight days, increasing from 2.5 million to 4.78 million.
BRC-20 Token Standard
This rise can be largely attributed to the BRC-20 token standard, which enables users to mint text-based fungible tokens in a similar way to those created via the ERC-20 token standard on the Ethereum (ETH) network. According to data from popular blockchain data hub Dune Analytics, almost all (99%) of all new Ordinals inscriptions since April 25 have been text-based.
Growth In Popularity
The popularity of this new token standard is further evidenced by Glassnode co-founder and chief technology officer Rafael Schultze-Kraft’s observation that text-based inscriptions are now the most dominant form of Ordinal inscription on the Bitcoin network, with more than 2.8 million such inscriptions as of May 5th.
Rise in NFTs
Ordinals protocol was initially used mainly for minting images as non-fungible tokens (NFTs). However, following the introduction of BRC-20 tokens, it has seen a surge in popularity and usage among users seeking an alternative means for creating digital assets on the Bitcoin blockchain.
Conclusion
In conclusion, we can see that BRC-20 tokens have enabled a massive increase in both fungible and nonfungible asset creation on the Bitcoin blockchain over recent weeks and months – with more than 4 million total ordinal inscriptions currently present on its network – and will likely continue to drive growth going forward