The meme coin sees increased activities on the Bitcoin BRC-20 network, with many transitioning to the new standard. The latest trend indicates a growing craze for BRC-20 meme coins on the Bitcoin network.
Meme Coins Impact Bitcoin Network And Binance
The popularity of Ordinals and other meme coins caused Binance to temporarily halt Bitcoin withdrawals twice within 12 hours due to a backlog of pending transactions. This development highlights the current trends surrounding these coins, with even the world’s largest centralized exchange being impacted.
Similarly, the Ethereum network experienced congestion caused by meme coins, particularly PEPE and WOJAK. Despite being an experimental asset, the BRC-20 token standard on the Bitcoin network is gaining popularity fast.
The high activity on the network suggests that users are increasingly interested in using fungible tokens on Bitcoin. As the BRC-20 standard gains popularity, discussions have begun about a potential successor called BRC-21.
The proposal for the new standard was introduced on May 7, indicating that developers are already exploring ways to improve upon the existing token standard. The proposed BRC-21 standard seeks to enable the creation and redemption of tokens from other blockchains to the Bitcoin blockchain.
According to the proposal, the primary use case for the BRC-21 standard is to facilitate the deployment of decentralized stablecoins on Lightning Network and other similar payment platforms.
BRC-20 Minting Fees Reached Record High
Meanwhile, Dune analytics revealed that the daily minting fees for BRC-20 tokens reached a new all-time high of 247 BTC, with a total cost of 641 BTC for Bitcoin Ordinals. Similarly, there was a significant fee peak last month as Bitcoin recorded its all-time high in daily transactions triggered by Ordinals.
On May 7, Bitcoin’s transaction fees surged to 400 BTC, an 18-fold increase from the previous month. This increase in transaction fees can be attributed to various factors, including the growing demand for Bitcoin and the activity surge in meme coins on the network.
The dominance of BRC-20 tokens in the Bitcoin network is undeniable, with a current market capitalization of $541 million. Currently, there are 14,079 tokens in circulation.
The popularity of these tokens and the rise of NFTs have been significant driving forces behind the growth of Bitcoin Ordinals.
The recent shift of meme coins to the BRC-20 network could be attributed to the congestion on the Ethereum network. This is especially true as the 24-hour trading volume on PEPE (the frog-themed meme token) shows little signs of decline.
PEPE has gained significant traction within the crypto community, with its value skyrocketing by an astounding 4,000% following its launch last month.
