Arbitrum

zkSync

<ul>
 <li><em>Nearly 60% of all transactions generated on Arbitrum last week were linked to Inscriptions.</em></li>
 <li><em>Users had to pay substantially less in fees for Inscriptions.</em></li>
</ul>
<p>Layer-2 (L2) blockchain <a href="https://ambcrypto.com/search/arbitrum" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Arbitrum [ARB]</a> experienced a steep rise in network activity over the last few days.</p>
<p>According to on-chain analytics firm <a href="https://x.com/intotheblock/status/1736732425923826114?s=20" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="external">IntoTheBlock</a>, daily transactions on the scaling solution set a new all-time high (ATH) on the 16th of December.</p>
<div id="attachment_359459" style="width: 100%" class="wp-caption aligncenter"><a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/Transactions-Arbitrum.jpg" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-359459" decoding="async" class="size-full wp-image-359459" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/Transactions-Arbitrum.jpg" alt="" width="977" height="443" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/Transactions-Arbitrum.jpg 977w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Transactions-Arbitrum-300x136.jpg 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Transactions-Arbitrum-768x348.jpg 768w" sizes="(max-width: 977px) 100vw, 977px"></a>
 <p id="caption-attachment-359459" class="wp-caption-text">Source: IntoTheBlock</p>
</div>
<h4>Inscriptions power Arbitrum’s on-chain traffic</h4>
<p>As per a Dune <a href="https://dune.com/hildobby/inscriptions" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="external">dashboard</a> scanned by AMBCrypto, EVM Inscriptions, similar in concept to&nbsp;<a href="https://ambcrypto.com/search/ordinals" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Bitcoin Ordinals</a>, caused the spike in on-chain traffic.</p>
<p>Nearly 60% of all transactions generated on Arbitrum over the last week were tied to inscription activity. This was higher than <a href="https://ambcrypto.com/search/zksync+era" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">zkSync Era</a>, another popular L2, where Inscriptions accounted for 57% of the total transaction activity.</p>
<p>Additionally, more than 16% of all gas fees on Arbitrum in the last week were used for minting and trading Inscriptions.</p>
<p>Drawing inspiration from Bitcoin’s BRC-20s, EVM chains started creating their token standard to inscribe information, like non-fungible tokens (NFTs), on the blockchain. One of the advantages of Inscriptions is that they are cheaper to move around.</p>
<p>On the 18th of December, more than 1.2 million Inscriptions were created on Arbitrum. However, users had to pay substantially less in fees, approximately $551,640, for transactions tied to Inscriptions.</p>
<h4>A test for Arbitrum</h4>
<p>However, the frenzy brought with it its share of problems. The day when transactions peaked, the network suffered a <a href="https://ambcrypto.com/arbitrum-hit-by-a-brief-outage-heres-what-went-wrong/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">brief outage</a>. As reported by AMBCrypto, the incident marked the first downtime in the network over the past 90 days.</p>
<p>However, Arbitrum was quick to fix the issue, and the network was back up and operating in less than two hours after the outage began. Nonetheless, the incident did raise a few questions about Arbitrum’s load-bearing capabilities.</p>
<h4>ARB’s woes continue</h4>
<p style="text-align: left;">Contrary to the Inscriptions mania on Arbitrum, the native token ARB fell 3.39% over the week, according to <a href="https://coinmarketcap.com/currencies/arbitrum/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="external">CoinMarketCap</a>.</p>
<p style="text-align: center;">Realistic or not,&nbsp;here’s <a href="https://ambcrypto.com/calculator/marketcap" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">ARB’s market cap in BTC terms</a></p>
<p style="text-align: left;">Well, this could be because the asset doesn’t accrue any value from Arbitrum’s on-chain activity and functions just as a governance token.</p>
<p>Overall, the token was done 90% from the time of its much-hyped AirDrop.</p>

Arbitrum: Of Inscriptions frenzy and power outages

AMBCrypto

Other articles published on Dec 19, 2023

How Blockchain is Benefiting Numerous Industries: From Sustainability to Brand Quality Control

The Dynamic and Complex Correlation Between NASDAQ 100 Index and Bitcoin

Avalanche and Polygon Whales are Buying a New Hot Crypto at Rapid Pace

Hashkey Capital Singapore obtains Singapore banking license

Coinone adds new security features

Harga AVAX Berisiko Jatuh, Ini Sebabnya

Join our free newsletter for daily crypto updates!