So interpreting correctly that bidding up of fees is just from increased demand for block space outside of ordinals?
If you look at the transactions bidding up the fees during the day they mostly aren’t inscriptions. They are the sorts of transactions that the fee discount was designed to encourage. Lots of inputs consolidating into a few outputs.
The degens are mostly not bidding fees up except in fairly rare cases where someone clearly wants to move their shitcoinery on chain.
I hope to have a way to visualize this much better but it’s slow going because there is a ton of data to churn through.
The big expensive transactions at the bottom of this block are good examples of this.
https://mempool.space/block/00000000000000000003b6963bb1d1f3deb1b6e23abba57306fd58d3a9abe4ba
Discussion
It likes like that’s the case. This is a really interesting insight.
The inscriptions are definitely increasing the floor price. I don’t yet have a feel for how big that effect is yet, but there are a bunch of extra transactions waiting at the low end. But when the price blows out during US business hours it seems like it’s mostly non-inscription traffic.
I’m still waiting for my data collection script to finish running so I can’t back this up with any quality stats yet, but I have a gut feeling that inscriptions aren’t the main source of high fees. They are just helping to push things higher when people get impatient.