Cointime

Cointime

Download App
iOS & Android

NFT Ordinals Fuel Explosive Growth in Bitcoin’s Taproot Usage, Reaching a New All-Time High

One of the main effects of the emergence of Ordinals, non fungible tokens ( NFT) native to the Bitcoin network, has to do with the use of Taproot transactions. Their adoption reached 13.7% yesterday, a new all-time high for this indicator.

Since the launch of the Ord wallet by Casey Rodarmor on January 23, 2023, the kickoff for the mass use of Ordinals, Taproot usage grew by 800%. According to data from Dune Analytics, it went from 1.72% on the aforementioned date to the record reached this Thursday, March 2.

That growth was explosive from the very first days.

The explanation for this phenomenon lies in the use that NFT Ordinals make of Taproot. To register files on the Bitcoin network, Ordinals uses a part of the transaction called Witness, which was created with the SegWit software update in 2017 and has the function of hosting signature data testifying that a transaction is valid.

Prior to Taproot, space in the witness field was limited, mainly due to security concerns. However, the update activated in November 2021 (the last major one on Bitcoin) extended the cap to 4 MB.

That gave the possibility for Ordinals to take advantage of the witness space (which also has a 75% discount on commission payments) to store all kinds of files in hexadecimal format.

Other effects of NFT Ordinals on Bitcoin

The adoption of Taproot was not the only consequence of the emergence of Ordinals in Bitcoin. These NFTs also caused the blocks on the network to increase in average size. At the time of writing, this indicator stands at 2.1 MB.

Likewise, commission payments to miners increased, thanks to the weight of Ordinals transactions. As can be seen in the graph above, although fees on average decreased from their peak, the cumulative amount already exceeds USD 1.4 million.

Despite all this, these days the Bitcoin Ordinals rush seems to have subsided, as reported in this newspaper. After weeks of congestion, the Bitcoin mempool does not have as many transactions on hold and the commissions for trading are also down because of it.

Get the latest news here: Cointime channel — https://t.me/cointime_en

Bitcoin Ordinals NFT
Comments

All Comments

Recommended for you

  • U.S. Government: $40 Billion Earned from 10% Stake in Intel (INTC.US)

    On May 2, the U.S. government announced that its 10% stake in Intel (INTC.US) has generated $40 billion in earnings. (Dongxin News Agency)

  • BTC Falls Below $78,000

    Market data shows that BTC has fallen below $78,000, currently priced at $77,977.99, with a 24-hour increase of 1.9%. The market is experiencing significant volatility, so please ensure proper risk management.

  • Trump States the U.S. Will Not Leave the Strait of Hormuz

    On May 2, U.S. President Trump stated that the United States will currently "not leave" the Strait of Hormuz. He defended the U.S. blockade actions, describing them as "very strong." Trump claimed that the blockade measures are effective and asserted that once the war is over, energy prices will significantly drop. "After this war ends, the prices of oil, gas, and everything will plummet," he said. He also praised the U.S. stock market for reaching historic highs and noted that projects during his administration are being completed "on time" and "on budget." (Jinshi)

  • Trump: Personally Inclined Not to Restart Bombing Operations Against Iran

    On May 2, U.S. President Trump stated that he ultimately has two options regarding Iran: either escalate military action significantly or reach an agreement. 'There are indeed options. Do we want to go in and blow them to smithereens to solve the problem once and for all? Or do we want to try to reach an agreement? Those are the options on the table,' Trump said. He also confirmed that he had just received the latest briefing on military options from the U.S. Central Command the previous night. Trump expressed his personal inclination not to restart bombing operations. 'From a humanitarian standpoint, I prefer not to do that,' he said at the White House. (CNN)

  • Trump: Unsatisfied with Iran's Latest Proposal

    On May 2, U.S. President Trump stated: 'Regarding Iran, I am not satisfied with the latest proposal. We are negotiating over the phone, and I am not sure if we can reach an agreement.' (Jinshi)

  • Benset: The Blockade Will Continue Until Iran Restores Pre-War Freedom of Navigation

    On May 1, U.S. Treasury Secretary Benset posted on the X platform, stating that it is difficult for a mouse in a sewer pipe to know what is happening in the outside world. Here are some 'realistic scenarios' for the Iranian leadership—after all, they are indeed in a dark state of information isolation: 1. The U.S. has complete control over the Strait of Hormuz. 2. There is a shortage of hard currency (i.e., U.S. dollars). 3. Rationing of food and gasoline has been implemented. 4. The entire international community has turned against you. 5. The blockade will continue until freedom of navigation is restored to what it was before February 27.

  • BTC Surpasses $78,000

    Market data shows that BTC has surpassed $78,000, currently priced at $78,016.69, with a 24-hour increase of 2.13%. The market is experiencing significant volatility, so please ensure proper risk management.

  • Crypto Exchange Startup Fun Secures $72 Million in Series A Funding

    Crypto exchange service startup Fun has disclosed that it has completed a $72 million Series A funding round, led by Multicoin Capital and tech venture capital firm SignalFire. Other participants include Infinity Ventures, Pharsalus Capital, and Tinder co-founder Justin Mateen. This funding transaction was completed in January of this year but was only made public recently. Fun declined to disclose the valuation of this funding round.

  • ETH Surpasses $2300

    Market data shows that ETH has surpassed $2300, currently priced at $2300.19, with a 24-hour increase of 1.6%. The market is experiencing significant volatility, so please ensure proper risk management.

  • Tether: Q1 Net Profit Reaches $1.04 Billion, Total Assets Approximately $191.77 Billion

    Tether's Q1 2026 performance report reveals that the company achieved a net profit of approximately $1.04 billion amid a highly volatile global market, with excess reserves rising to a record $8.23 billion. As of March 31, 2026, Tether's total assets were approximately $191.77 billion, with total liabilities around $183.54 billion, of which about $183.44 billion corresponds to issued digital tokens. This results in assets exceeding liabilities by $8.23 billion, while the circulation of USDT remained stable, with total token-related liabilities around $183 billion. In terms of reserve structure, Tether continues to focus on short-duration, highly liquid assets, holding approximately $141 billion in U.S. Treasuries, making it the 17th largest holder of U.S. debt globally. Additionally, its reserves include around $20 billion in physical gold and approximately $7 billion in Bitcoin holdings.

Daily Must-Read

Popular Activities

RaveDAO at Terra Solis by Tomorrowland: A Female-Led Techno Night Where Web3 Culture Converges

RaveDAO at Terra Solis by Tomorrowland: A Female-Led Techno Night Where Web3 Culture Converges

April 30 - April 30
Dubai

Popular Tags

Cointime
News
Contents
RSS
Company