Runes make up 68% of all Bitcoin transactions since launch

Runes, a new token standard on the Bitcoin blockchain, has quickly gained traction since its launch following the network’s halving event on April 20.

Runes Transactions Dominance

More than 2.38 million Runes transactions have been processed, comprising 68% of all Bitcoin transactions made since its inception on April 20, according to data from a Dune Analytics dashboard shared by blockchain research firm Crypto Koryo.

Ordinary peer-to-peer Bitcoin transactions, BRC-20s, Ordinals, and Runes collectively contribute to the total transaction count.

Runes experienced its peak activity on April 23, with over 750,000 transactions. However, the count decreased to 312,000 transactions the following day.

Upon block 840,000, initial demand for Runes stemmed from memecoin and nonfungible token enthusiasts vying to engrave “rare satoshis” via the Runes protocol. Consequently, Runes transactions accounted for nearly 70% of miner fees on the halving day. Since then, daily fees fluctuated between 33% and 69%.

Sustainability Concerns and Disparity

Industry experts are divided on whether Runes will provide a sustainable revenue stream for Bitcoin miners. Additionally, there’s a discrepancy between the number of Rune transactions and miner fees earned from Runes.

Created by Ordinals inventor Casey Rodarmor, Runes is promoted as a more efficient token creation method on the Bitcoin network compared to the BRC-20 token standard. However, some stakeholders, including Nikita Zhavoronkov, a lead developer at blockchain search engine Blockchair, criticize the significant block space occupied by Runes transactions, arguing that Bitcoin has deviated from its original vision as a peer-to-peer electronic cash system envisioned by its creator, Satoshi Nakamoto.