BTC transaction fees have soared above Ethereum’s amid a renewed appetite for Ordinals-inscribed assets.
Bitcoin’s (BTC) average daily transaction fees have flipped with Ethereum following a frenzy of Ordinals-related activity. On Nov. 20, the average daily transaction fee for Bitcoin(BTC) stood at $10.34, while Ethereum’s transaction fees came to an average of $8.43. Bitcoin’s average daily trading fee notched a new six-month high on Nov.16, reaching a peak of $18.67, while Ethereum(ETH) fees reached $7.90.
The sudden uptick in Bitcoin transaction fees stems from a renewed market appetite for assets inscribed with the Ordinals Protocol, a tool for creating nonfungible token (NFT)-like assets and BRC-20 tokens on Bitcoin. Following a significant lull in activity between Sept. 25 and Oct.23, Ordinals-based assets began seeing a massive increase in activity in late October, according to Dune Analytics. Since Oct. 24, over 6 million Ordinal assets have been created, resulting in more than 800 Bitcoin in fees worth $30 million being redistributed to the network.
The uptick in Ordinal’s inscription activity compounded as ORDI, the second largest BRC-20 token by market cap, was listed on Binance on Nov. 7. The listing spurred a wider wave of BRC-20 buying activity from traders with the price of the ORDI token jumping by just over 50% on the day. Additionally, on Nov. 17, the Ordinals-based project Taproot Wizards announced a $7.5 million seed round.