Bitcoin BRC-20 token standard becomes a new destination for meme tokens

Share This Post

The BRC-20 token market cap has seen a 600% rise in the past week, with its transaction volume overtaking standard BTC transactions on the network.

Bitcoin’s BRC-20 token standard has become the latest trend in the crypto ecosystem, especially after the Pepe (PEPE) memecoin rise in recent months. A total of 8,500 different tokens have been minted using the BRC-20 standard, with the majority of these BRC-20 tokens being memecoins, such as PEPE and Memetic (MEME).

BRC-20 is an experimental token standard on the Bitcoin (BTC) blockchain modeled on Ethereum’s ERC-20. It allows programmers to create and send fungible tokens via the Ordinals protocol.

Although modeled after ERC-20, the BRC-20 token standard fundamentally differs from its Ethereum-based counterpart. BRC-20 tokens don’t make use of smart contracts. The token standard also requires a Bitcoin wallet to mint and trade these tokens.

The BRC-20 token standard was created early in March by an anonymous on-chain analyst called Domo. The objective was to make it possible for fungible tokens to be issued and transferred on the Bitcoin blockchain. The market cap of BRC-20 tokens has exploded over the past month and currently sits at $120 million, a 600% rise in the past week.

BRC-20 tokens marketcap. Source: Ordinals

The BRC-20 token frenzy has also dwarfed the blockchain’s original number of Bitcoin transactions. The number of BRC-20 transactions on the Bitcoin blockchain between April 29 and May 2 reached over 50%, outperforming regular BTC transactions.

Related: Bitcoin metrics to the moon: ATH for hash rate, daily transactions and Ordinals

The BRC-20 token volume peaked on May 1 at 366,000 transactions, with the total number of transactions on the network being 2.36 million.

BRC-20 tokens transaction volume. Source: Dune

Along with the rise in BRC-20 transactions, transaction fees have surged due to the new token activity. Since its inception in late April, the network has generated an additional 109.7 BTC in transaction fees for miners.

BRC-20 tokens total fees. Source: Dune

The memecoin frenzy has been a notable topic on the Ethereum blockchain, but with the rise of the BRC-20 standard, a similar trend is also observed on the Bitcoin blockchain. The memecoin craze has also led to a significant rise in Ethereum network gas fees, contributing to network congestion.

Magazine: Bitcoin in Senegal: Why is this African country using BTC?

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

Peter Schiff Highlights Liquidity Risks If US Holds Bitcoin, Says It Could Trigger Market Crash

The post Peter Schiff Highlights Liquidity Risks If US Holds Bitcoin, Says It Could Trigger Market Crash appeared first on Coinpedia Fintech News Peter Schiff, a staunch Bitcoin critic in a recent X

Cardano Price Prediction: Analyst Sounds Alarm Of Break Through Key Resistance, Why A Rally Could Follow

Based on chart indicators, the Cardano price has just broken through a key resistance, sparking the promise of a potential uptrend While the cryptocurrency is gearing up for a possible bullish rally,

Crypto CEO Held Hostage In Toronto, Freed After $1 Million Ransom Payment

Dean Skurka, CEO of blockchain and crypto firm WonderFi, was kidnapped, held for ransom, and was subsequently released after paying $1 million According to CBC and other sources, Skurka was

Bitcoin’s Path to the Top: What It Will Take to Dethrone Silver, Apple, Nvidia, and Gold

At press time, with bitcoin floating comfortably above $76,000, the flagship cryptocurrency holds its ground as the ninth largest asset worldwide by market capitalization Bitcoin Overtakes Meta, Sets

Fundstrat Analyst Tom Lee Foresees Bitcoin Surging Past $100,000 This Year

The post Fundstrat Analyst Tom Lee Foresees Bitcoin Surging Past $100,000 This Year appeared first on Coinpedia Fintech News Tom Lee, head of research at Fund Strat Global Advisors and Chief

MakerDAO community decides to continue Sky rebrand amid centralization concerns in vote

The DeFi project Sky has retained its new brand identity rather than revert to MakerDAO following a community vote Polling data revealed that 793% of votes supported maintaining the Sky brand as the