Bitcoin Ordinals Heat Up Again, Inscriptions and BRC-20 Tokens Shine

By the end of 2023, Bitcoin Ordinals sparked another market frenzy. Data shows that in November, Bitcoin inscription trading volume surpassed that of Ethereum NFTs, and this advantage further expanded in early December. Unlike at the beginning of the year, this round of enthusiasm also fueled the booming market for BRC-20 tokens.

After a comprehensive analysis of Ordinals-related on-chain and market data, it was found that:

1. Since November, Ordinals has accumulated nearly 9.75 million transactions, with fees exceeding 1,263 Bitcoin. However, BRC-20 on-chain transactions are showing a downward trend, possibly shifting partially to centralized exchanges.

2. The average floor price of popular Bitcoin NFTs has increased by 311.73%. Among them, Flipped Frogs, Bitcoin Frogs, and Van Gogh's painting saw increases of over 1500%.

3. The Bitcoin NFT market exhibits characteristics of high asset concentration and low liquidity for most assets. Transactions of Van Gogh's painting and Bitcoin Frogs accounted for 73.51% recently. Less than 50% of popular projects have more than 3 public trading records of inscriptions.

4. Since November, the average increase of popular BRC-20 Tokens has reached 446.74%. BISO, PIZA, and ORDI have increased by 1690.76%, 1168.14%, and 913.10%, respectively.

5. The BRC-20 market is highly concentrated and relies on a single trading platform. ORDI accounts for 97.45% of the daily average trading volume. More than 50% of the trading volume of most popular tokens comes from the same exchange. A certain trading platform and another platform are the main trading markets for multiple popular BRC-20 tokens.

6. Since November, Ordinals trading fees accounted for 23.20% of the total fees. Although it has increased miners' income, it has not yet had a dominant impact on miners' earnings.

7. The total locked value of DeFi on the Bitcoin chain has increased by 36.92% compared to early November, reaching $318 million. The total locked value of DeFi on the Ethereum chain also shows a growth trend during the same period, reaching $29.909 billion.

The popularity of Ordinals has made the market see the development potential of the Bitcoin ecosystem. However, its development has also sparked controversy, with some developers believing that inscriptions have vulnerability risks. The future development of the Bitcoin ecosystem may promote the comprehensive development of decentralized applications and strengthen the connections between different chains.