The surge in demand for creating inscriptions on non-Bitcoin-based blockchain networks has propelled several prominent networks, such as Arbitrum and BNB Chain, to achieve unprecedented levels of throughput.
According to data analysis by the pseudonymous researcher known as “hildobby,” who works with the crypto venture fund Dragonfly, various blockchain networks have experienced their highest daily peak transactions per second (TPS) in December.
Among these networks are Goerli, zkSync, Arbitrum, Gnosis, and the BNB Chain, with inscriptions accounting for a substantial portion of their transaction activity, ranging from 83% to 97%.
Furthermore, Fantom, Celo, Avalanche, and Polygon also set new daily TPS records in November.
The surge in inscription activity has not only impacted daily TPS but also hourly records.
Optimism reached an hourly TPS record of 87,960 on December 19, while Avalanche achieved an hourly TPS record of 289,285 on December 18, as reported by an analyst’s Dune Analytics dashboard.
This inscription frenzy has caused a significant uptick in transaction counts across leading blockchain networks over the past two years. Additionally, the amount spent on gas fees for minting new inscriptions has reached all-time highs.
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Similar to the concept of Bitcoin Oracles, users have discovered that they can create inscriptions using transaction call data on Ethereum Virtual Machine (EVM)-based chains.
This capability enables them to mint various items, from meme coins to social media profile pictures, increasing the demand for blockchain space.
Ava Labs co-founder Kevin Sekniqi highlighted that on December 19, the Avalanche C-Chain (contract chain) reached a remarkable 977 TPS, with many EVM chains experiencing unprecedented loads due to inscriptions.
He emphasized that the inscription trend has served as a rigorous stress test for existing blockchain infrastructure, underscoring the necessity for subnets to handle the heightened demand.
However, the inscription gold rush has not been without challenges.
It has led to full and partial network outages on several platforms, including Arbitrum, zkSync, Cronos, and Celestia, as reported by Cointelegraph on December 19.
These issues reflect the need for robust and scalable solutions to accommodate the growing interest in inscription activities across blockchain ecosystems.
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