The Bitcoin network has achieved a significant milestone with over 65 million Ordinals inscriptions recorded, just days before the highly anticipated Bitcoin halving event.
According to data from Dune, the 65 million mark was reached on April 11, less than 15 months since the launch of Ordinals in January 2023. (See image below)
[image]
Ordinals are the first form of nonfungible tokens (NFTs) on the Bitcoin blockchain, making them unique within the world’s first blockchain network. Unlike most popular NFT collections today, which store their metadata on centralized servers, Ordinals exist solely on the Bitcoin blockchain, eliminating potential vulnerabilities.
This milestone comes just before the Bitcoin halving, scheduled to occur around April 19. The halving will reduce block rewards from 6.25 Bitcoin (BTC) to 3.125 BTC.
So far, Ordinals have generated more than $458 million in network fees for Bitcoin miners, providing crucial support for mining firms as the halving event approaches.
The achievement of the 65 million milestone indicates a growing demand for block space on the Bitcoin network and highlights the need for additional layer-2 networks to accommodate this demand. Mithil Thakore, CEO of Velar, stated that this demonstrates the need for Bitcoin decentralized finance (BTCFi) capabilities.
BTCFi, or Bitcoin decentralized finance, is a new concept aiming to bring DeFi functionalities to the Bitcoin network. If the current adoption rate continues, BTCFi has the potential to match the innovation seen in Ethereum-based DeFi in the future, according to Nash Lee, co-founder of MerlinSwap.
With only 10 days remaining until the halving event, analysts are predicting a potential $150,000 price peak for Bitcoin. It is important to note that Bitcoin mining profitability may not necessarily decline after the halving, as other factors such as Bitcoin price and mining efficiency also play a role.