Bitcoin Ordinals Set New Record in Daily Inscriptions Due to BRC-20 Tokens

Jimmy Aki
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Due to the recent launch of the BRC-20 token standard, the Bitcoin Ordinals reached a new high of 58,179 inscriptions on April 2, breaking the previous record of 31,692 set on March 9.

Bitcoin Ordinals Hit New Price Level

The quantity of Ordinals inscribed on the Bitcoin network has surpassed its previous record since the token standard was launched.

Dune Analytics records show that on April 2, Bitcoin Ordinals reached 58,179 inscriptions, exceeding the previous all-time high (ATH) of 31,692 on March 9.

The rise is attributed to the recent development of Bitcoin Request for Comment (BRC-20) tokens on the Ordinals protocol by an anonymous on-chain analyst named Domo at the beginning of March 2023.

The BRC-20 token standard, like Ethereum’s ERC-20 token standard, utilizes Ordinal inscriptions to deploy token contracts, mint tokens, and transfer tokens.

This is because Ordinals are digital artifacts on the Bitcoin network that are similar to non-fungible tokens (NFTs) and carry data in the form of text, JPEG images, PDFs, videos, and audio files.

The introduction of Ordinals and BRC-20 tokens on Bitcoin kicked off on November 14, 2021, after the Taproot soft fork. The Taproot’s main goal is to speed up, improve efficiency, and secure Bitcoin.

The upgrade makes it possible to batch together numerous signatures and transactions. This helps to speed up and simplify the verification process for transactions on the Bitcoin network.

According to Leonidis.og, the host of a podcast devoted to Ordinals, almost 55,000 of the inscriptions on April 2 were text-based Ordinals. Aside from that, BRC-20 tokens represented many of them.

He stated that the release of new tools for interacting with BRC-20 tokens led to an increase on April 2.

He went ahead to explain that when BRC-20 was published a month ago, there was a lot of excitement, but then it died down.

Following that, they developed mechanisms to facilitate communication with BRC-20 during downtime, and they are now experiencing an all-time high (ATH) level of interest.

He emphasized that user experience (UX) is essential.

These new tools include BRC-20.io, Ord.io, and UniSat Wallet. According to BRC-20.io, since the BRC-20 standard was established, 1,666 tokens have been produced.

Among the most well-known BRC-20 tokens are Pepe, Ordi, and Punk, with a current market capitalization of $2.5 million, $2.1 million, and $900,000, respectively.

Bitcoin NFT Market Projected to Hit $4.5 Billion by 2025

According to digital asset investment firm Galaxy Digital, the Bitcoin NFT market may reach $4.5 billion by 2025, although the market valuation of BRC-20 tokens is now less than $10 million.

The potential expansion of Bitcoin NFTs was examined by Galaxy researchers in a new paper released on March 3. Estimates were made conservatively based on Ethereum’s NFT market’s current size and growth rate over the previous few years.

Based on the firm’s analysis, the report predicted three market caps for the bear, base, and bull case scenarios.

According to Galaxy’s analysis, the market valuation of Bitcoin NFTs should hit $4.5 billion if they can merge into popular NFT cultures like memes, PFPs (Profile Photographs), and utility projects.

Galaxy calculated that on the bear side, Bitcoin NFTs can still attain a market cap of $1.5 billion. This was calculated based on current demand and supporting infrastructure in the event that Bitcoin NFTs refrain from infiltrating the mainstream NFT industry and taking market share from Ethereum.

On the bullish side, Galaxy researchers predict that the market for Bitcoin NFTs might grow to $10 billion if it effectively competes with Ethereum NFTs while offering distinctive use cases.

Currently, approximately 42,700 BRC-20 tokens have been minted, with the majority of them coming from the tokens BAYC, meme, wzrd, domo, and puppies.

About Jimmy Aki PRO INVESTOR

Based in the UK, Jimmy is an economic researcher with outstanding hands-on and heads-on experience in Macroeconomic finance analysis, forecasting and planning. He has honed his skills having worked cross-continental as a finance analyst, which gives him inter-cultural experience. He currently has a strong passion for regulation and macroeconomic trends as it allows him peek under the global bonnet to see how the world works.