Bitcoin (BTC), currently valued at $37,369, has seen its average daily transaction fees surpass those of Ethereum due to a surge in activities related to Ordinals. As of November 20, Bitcoin’s average daily transaction fee was recorded at $10.34, while Ethereum’s fees averaged at $8.43, based on data from BitInfoCharts.
This increase in Bitcoin’s transaction fees is attributed to the growing interest in assets inscribed with the Ordinals Protocol. This tool enables the creation of non-fungible token (NFT)-like assets and BRC-20 tokens on the Bitcoin network. Bitcoin’s average daily trading fee hit a six-month high on November 16, reaching $18.67, in contrast to Ethereum’s fees, which were at $7.90.
The spike in Bitcoin transaction fees is linked to a resurgence in the market’s interest in Ordinals-based assets. According to Dune Analytics, after a period of reduced activity from September 25 to October 23, there was a significant increase in the creation of Ordinals-based assets starting in late October.
Since October 24, over six million Ordinal assets have been inscribed, leading to the accumulation of more than 800 BTC in fees, equivalent to approximately $30 million, which has been redistributed within the network.
The increase in Ordinals inscription activity was further amplified when ORDI, the second-largest BRC-20 token by market capitalization, was listed on Binance on November 7. This listing triggered a broader wave of BRC-20 token purchasing by traders, with the price of the ORDI token surging by over 50% on the day of the listing.
Moreover, on November 17, the Ordinals-based project Taproot Wizards announced a successful $7.5 million seed funding round, highlighting the growing interest and investment in this sector.
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