Runes Protocol Share in Bitcoin Transactions Drops to Record Low
Date: 2024-12-27 Author: Henry Casey Categories: BUSINESS
The Runes protocol quickly gained popularity after its launch, providing a significant share of transactions on the Bitcoin network. At its peak, its share exceeded 81%. However, over time, user interest began to wane, with the exception of several short-term bursts of activity in June, September, and November.
By December 26, the share of Runes among all Bitcoin transactions dropped to a historical low of 2.4%. During the month, the figure rarely exceeded 8%, with the exception of a sharp increase to 19.9% recorded on December 25.
Experts from The Block attribute the decline in interest in the protocol to high volatility in the cryptocurrency markets. In such conditions, investors switched to other sectors of the industry, including meme coins, NFTs on the Ethereum blockchain, and developments in the field of artificial intelligence. Analysts believe that with the return of price stability, users will once again focus on ecosystem projects such as Runes.
According to a report by CoinGecko, meme coins have become the main trend among crypto investors in 2024, which has also affected the decline in popularity of experimental protocols running on top of Bitcoin.
