Gas fees on Polygon, Ethereum’s layer 2, surged more than 1,000% to a peak of $0.10 as users flooded the network with the Ordinals-inspired token called POLS.
In a post based on Polygon on November 16 (NFT).
Sharing a tweet about X: — Sandeep Nailwal | sandeep. polygon (@sandeepnailwal) 16 November 2023
What’s happening to the POS chain? @0xPolygon? 6 million transactions in the last 24 hours. Average 170 TPS. More than 1 million MATICs have been burned by the protocol. The chain worked flawlessly, gas fees were crazy but no realignment or 0 blocks etc. did not have.
I heard there’s a Baby Shark game coming out, maybe…
What’s happening @0xPolygon POS chain? 6 million transactions in the last 24 hours. Average 170 TPS. More than 1 minute of MATIC was burned by the protocol. The chain worked fine, fuel charges were crazy but no rearrangement or 0 blocks etc. It didn’t happen.
I heard there is a game called Baby Shark Launching, I wonder if this is…
—Sandeep Nailwal | sandeep. polygon (@sandeepnailwal) 16 November 2023
The explosion in network activity and the sudden increase in gas fees appear to be primarily due to excitement over the minting of the new POLS token.
Data from Dune Analytics shows that the POLS coin influx coincided with the use of over 102 million MATIC tokens (MATIC) – worth $ 86 million at current prices – as gas.
The POLS token is built on a protocol called PRC-20, which works in a similar way. Based on BRC-20 token standard Derived from Bitcoin Ordinals.
According to data provided by Ethereum data provider Virtual Machine EVM, only 8.7% of the total POLS supply has been mined, with just over 18,100 owner tokens claimed.
Relating to: Bitcoin Ordinals revived thanks to listing on Binance
At the time of publication, Polygon’s gas fees had returned to normal levels and were around 882 gwei. Gas fees measure the amount of computational effort required to perform a transaction on a particular blockchain. 1 gwei is approximately equal to 0.000000001 MATIC.
In May of this year, the Bitcoin network experienced a similar increase in activity, albeit for a longer period. Upon publication of the Ordinals protocolThis allowed users to mine NFTs directly on the Bitcoin blockchain.
The frenzy over NFT Ordinals and BRC-20 tokens has pushed Bitcoin fees to levels not seen since April 2021. More traditional Bitcoiners like Samson Mow and Adam Back call the NFT protocol and token standard a waste.