Bitcoin Runes, a protocol for non-fungible tokens (NFTs), has made a significant impact in the cryptocurrency market since its launch in April. According to data from Dune Analytics, the protocol has generated an impressive $162.4 million in fees from over 15.6 million transactions in just four months.
The initial success of Bitcoin Runes was evident in the first two months after its launch, with daily transactions often exceeding 300,000. On April 23 alone, NFT investors conducted more than one million transactions, representing 81.3% of the total Bitcoin network bandwidth. However, in the last two months, daily transactions have declined to an average of 50,000, with Bitcoin reclaiming its dominance in network activity.
Since July 16, Bitcoin has consistently accounted for roughly 90% of the network activity, while the remaining 10% is shared among Ordinals, BRC-20 tokens, and Runes. The Runes protocol, positioned as a successor to Bitcoin Ordinals and a competitor to BRC-20, has gained preference among investors, surpassing BRC-20 in daily transaction share on most days.
Out of the 15.6 million Runes transactions, mints represent the majority with over nine million transactions, followed by edicts and etching with 6.5 million and 91,500 transactions, respectively. The rise of Bitcoin inscriptions has been a notable trend in the market, with Runes showing potential for long-term market impact.
Pseudonymous decentralized finance researcher Ignas believes that the real market opportunity for Runes may come after a few months of its launch. He noted the excitement surrounding Runestone, RSIC, and PUPS, which are promising holders shiny new Rune token airdrops. However, he also cautioned that the market could soon cool off, similar to the NFT frenzy post-JPEG reveal.
In addition, the Bitcoin layer-2 network Stacks is preparing to launch a trading solution for Runes, BRC-20s, and Ordinals inscriptions, further expanding the market opportunities for Bitcoin Runes. With its impressive transaction volume and potential for long-term growth, Bitcoin Runes is proving to be a significant player in the NFT space.
As the cryptocurrency market continues to evolve, the success of Bitcoin Runes serves as a testament to the growing adoption and innovation within the NFT sector. Investors and enthusiasts alike will be closely watching the developments surrounding Bitcoin Runes and its impact on the broader cryptocurrency ecosystem.