
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.
BRC-20 is an experimental token standard for the Bitcoin blockchain, inspired by Ethereum’s ERC-20. It enables developers to create and transfer fungible tokens through the Ordinals protocol.
The BRC-20 token standard was introduced in March by an anonymous on-chain analyst named Domo. The aim was to enable the issuance and transfer of fungible tokens on the Bitcoin blockchain. Over the past month, the market cap of BRC-20 tokens has skyrocketed, currently standing at $120 million, representing a 600% increase in just the last week.
The BRC-20 token craze has even overshadowed the original number of Bitcoin transactions on the blockchain. Between April 29 and May 2, BRC-20 transactions on the Bitcoin blockchain accounted for more than 50%, surpassing standard BTC transactions.
The BRC-20 token transaction volume reached its peak on May 1, with 366,000 transactions, while the total number of transactions on the network amounted to 2.36 million.
As BRC-20 transactions have increased, so have transaction fees, primarily due to the heightened token activity. Since its emergence in late April, the network has produced an additional 109.7 BTC in transaction fees for miners.