Notcoin (not) 
Data reveals that Binance’s NFT marketplace was not a favored choice for Ordinals traders, who are now turning their attention to Runes. Binance’s abrupt decision to discontinue support for Ordinals in April puzzled Bitcoin enthusiasts. The exchange, which has been embroiled in legal battles, stated that this move was aimed at streamlining its product offerings. Users holding Bitcoin NFTs were advised to transfer them elsewhere to remain eligible for airdrops. This sudden change in direction by Binance, the largest crypto platform by trading volume, has raised questions about the future of Ordinals.
Binance officially ceased support for Ordinals on April 18, causing a noticeable decline in sales volumes, unique buyers, and sellers according to data from CryptoSlam! Sales volumes dropped from $28.2 million on April 19 to $11.4 million on April 26. The number of buyers and sellers also decreased significantly during this period. However, it’s important to note that there are other factors influencing these changes, such as the recent Bitcoin halving and the introduction of Runes, a new standard for fungible tokens on Bitcoin.
Dune Analytics data illustrates that the launch of Runes significantly impacted Ordinals transactions on the Bitcoin blockchain. After Runes were introduced, Ordinals’ share of transactions dropped from 6.5% to 0.4%, with a surge in demand for memecoins. Binance’s exit from the market is not solely responsible for the decline in Ordinals’ popularity, as Runes have emerged as a competitive alternative.
Despite Binance’s exit from the NFT market, collectors of Ordinals may not be greatly affected, especially considering the exchange’s restrictions in multiple countries. Market data shows that other platforms, such as OKX and Magic Eden, have dominated Ordinals transactions. The focus now shifts to whether Binance will support Runes in the future to capitalize on the growing demand for memecoins on the Bitcoin network.
As trading volumes for memecoins surge on the Bitcoin network, Binance may consider listing Runes to remain competitive. While demand for Ordinals has waned recently, Bitcoin remains a leading blockchain for NFT sales, surpassing other platforms like Solana. If interest in Bitcoin NFTs rebounds, Binance’s decision to withdraw Ordinals from its marketplace could prove to be shortsighted.
