Luxor Mining announced that it will acquire OrdinalHub amid a flurry of interest in mining and buying Bitcoin-based NFTs known as Ordinals.
The introduction of Bitcoin Ordinals in January raised questions about its role in the Bitcoin ecosystem. People are disputing whether these use cases add to the scope of Bitcoin’s peer-to-peer cash system or detract from it.
Regardless of how the Bitcoin community felt about the nonfungible token (NFT) issue, Luxor Mining, a Bitcoin mining company (BTC $23,825), bought OrdinalHub, the main platform for Bitcoin NFTs.
With 150,000 inscriptions (Ordinals) now made, a 15000% increase from the beginning of the month, the announcement was made on February 20. Luxor emphasized the fact that the current condition of Bitcoin Ordinals being coined and “escrowed” over numerous Discord servers has made it impossible for collectors and developers to keep track of all of the initiatives.
It states that the OrdinalHub will address this issue as the community’s “central center.” The CEO of Luxor, Nick Hansen, complimented Ordinals for their ingenuity and their ability to foster “synergies” between the company’s mining pool and the OridinalHub.
“Ordinaries have paved the way for innovative new Bitcoin mining revenue models.”
Bitcoin miners have already earned over $600,000 on the NFT transactions of Ordinals. Moreover, over 50% of Bitcoin block space is now occupied by NFT inscriptions based on Bitcoin. On February 22, OrdinalHub announced the acquisition on Twitter. Users’ reactions were largely supportive of the news.
Some people, however, continued to express skepticism over the purchase and the overall enthusiasm around Ordinal, claiming that the “hype might be over.”
Standard NFTs have undergone hype cycles, with the most recent one ending in 2022. However, a recent DappRadar study indicates that they are gradually recovering as seen by a 37% rise in transactions between December 2022 and January 2023.
