Gas fees on Ethereum layer-2 Polygon (MATIC) surged greater than 1,000% to succeed in a peak of $0.10 as customers inundated the community with the minting of Ordinals-inspired tokens dubbed POLS.
In a Nov. 16 X (previously Twitter) publish Polygon founder Sandeep Nailwal shared his shock on the elevated transaction exercise on the community saying the spike might’ve been because of the launch of a brand new Polygon-based nonfungible token (NFT) assortment.
What is happening on @0xPolygon POS chain? 6m transactions in final 24 hrs. 170 TPS on common. 1mn+ MATIC burnt by the protocol. The chain labored easily, gas fees went loopy although however no reorgs or 0 blocks and so on.
I hear there’s some sport Baby Shark Launching, might that be the…
— Sandeep Nailwal | sandeep. polygon (@sandeepnailwal) November 16, 2023
The purpose for the uptick in community exercise and sudden spike in gas fees appears to be coming primarily from a frenzy of enthusiasm for minting the brand new POLS token.
Dune Analytics knowledge confirmed the frenzy of minting exercise for POLS coincided with greater than 102 million MATIC tokens — value $86 million at present costs— getting used as gas.
The POLS token is constructed on a protocol dubbed PRC-20, which operates equally to the Bitcoin Ordinals-derived BRC-20 token standard.
According to knowledge from Ethereum Virtual Machine knowledge supplier EVM, solely 8.7% of the entire POLS provide has been minted, with simply over 18,100 homeowners claiming the token.
Related: Bitcoin Ordinals see resurgence from Binance listing
At the time of publication, Polygon gas fees have since returned to typical ranges, settling at round 882 gwei. Gas fees quantify the quantity of computing effort wanted to conduct a transaction on a given blockchain, with 1 gwei equal to roughly 0.000000001 MATIC.
The Bitcoin community witnessed an identical, albeit extra extended, spike in activity in May this year following the release of the Ordinals protocol, which allowed customers to mint NFTs instantly onto the Bitcoin blockchain.
The ensuing frenzy for Ordinals NFTs and BRC-20 tokens noticed Bitcoin fees attain ranges not since April 2021, a growth that noticed extra traditionally-minded Bitcoiners such as Samson Mow and Adam Back forged down the NFT protocol and token customary as wasteful.
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