Controversy Intensifies as Bitcoin Transaction Fees Continue to Climb Towards All-Time Highs
A recent phenomenon on the Bitcoin network has caused some concern among users and observers. Some transactions embed images, text, and other data into the Bitcoin blockchain using a technique called Ordinals Inscription. This process takes advantage of certain updates to Bitcoin’s code that allow for more flexibility and scalability, such as SegWit and Taproot.
However, this trend does not appeal to everyone. Some critics argue that the ordinal protocol is an attack on Bitcoin’s fungibility, meaning that each bitcoin should be indistinguishable from another. They claim that by adding arbitrary data to the blockchain, ordinals make some bitcoins more valuable or desirable than others, depending on their content. For example, some ordinal listings contain NFTs or digital art that could have market value.
Another concern is that ordinals could pose a threat to Bitcoin’s mission in El Salvador, where it is legal tender. Some fear that by filling the blockchain with unnecessary data, ordinals could increase transaction fees and congestion, making Bitcoin less accessible and affordable for ordinary people.
Ordinals are a controversial topic within the Bitcoin community, and there is no clear consensus on whether it is an improvement or an attack. Some see it as a way to express creativity and innovation, while others see it as a way to abuse and undermine the fundamental principles of Bitcoin.