Analysis of Runes Protocol and Memecoin Trend on Bitcoin Blockchain

The founder of the Runestone project, Leonidas Leonidas, expressed his belief that Satoshi Nakamoto, the mysterious creator of Bitcoin, is likely informed about the current surge of meme coins on the blockchain if still alive. Leonidas shared on the X social media network that the thought of Satoshi being aware of the $DOG and the rising memecoin trend on his blockchain is astonishing.

Runes Protocol, a novel token standard introduced post Bitcoin's halving, enables the issuance of fungible tokens on the Bitcoin blockchain. Created by developer Casey Rodarmor, known for the successful Bitcoin Ordinals, the protocol functions as an additional layer on top of the main Bitcoin chain, utilizing the existing infrastructure.

Following the launch of Runes Protocol, Bitcoin experienced a substantial increase in fees, surpassing Ethereum by 24 times in fees generation on Apr. 20. However, this fee surge was short-lived as the momentum of the protocol diminished quickly, leading Bitcoin fees to return to normal levels promptly.

Despite the initial decline in excitement surrounding the protocol, it regained attention due to the growing enthusiasm for meme coins. The meme coin DOG•GO•TO•THE•MOON (DOG) based on Bitcoin has seen a remarkable surge, with its value increasing by nearly 24% in the last 24 hours. The coin's market capitalization has reached nearly $800 million, positioning it close to the top 100 cryptocurrencies by market cap.