Bitcoin infrastructure developer Nostr Assets has paused deposits following record-high user activity.
The cryptocurrency community has taken notice of a recent announcement by Bitcoin custodian Nostr Assets, which states that it will temporarily suspend the acceptance of new deposits. This action follows an unheard-of spike in user engagement and a divisive accusation from a prominent industry figure.
The Nostr Assets platform, which allows Satoshis to be transacted through the Lightning and Taproot Networks, has seen a notable increase in new users. More than 70,000 new users have signed up on the network since October 30, bringing the total number of fresh deposits to 280 Bitcoin, or about $11.8 million.
The creators have advised users to refrain from making any fresh deposits for the time being due to this incredible growth. On December 5, a Telegram notification stressed that users should hold off on making any Nostr Asset transactions until more information is released.
The Nostr protocol’s developer, Fiatjaf, added a twist to these occurrences when he accused Nostr Assets of operating an affinity scam. Fiatjaf brought up the point that, although going by the name Nostr, Nostr Assets is not associated with the Nostr protocol, which is mainly utilized for platform-to-platform social profile exchanges.
These assertions haven’t been substantiated by law, though. The creators of Nostr Assets disputed these claims, claiming that their ability to function depends on using the Nostr, Taproot Assets, and Lightning technologies.
They underlined that Nostr is a decentralized, open-sourced, and censorship-resistant network that any organization can develop. In related news, non-fungible token (NFT) sales on the Bitcoin network have now exceeded $1 billion.
Simultaneously, Ordinals, a meme token created on the Bitcoin network, reached a $1 billion market valuation. These achievements highlight the rising acceptance of BRC-20 tokens, which were first made available by Web3 developer Rodarmor in January and mark a substantial technological breakthrough in the fifteen-year history of Bitcoin.
Bitcoin Ordinals make managing and transferring these units easier by assigning each satoshi a unique number. On the Bitcoin blockchain, distinct digital assets can be created through the Bitcoin Inscription process, which adds extra data to each satoshi.
It is important to remember that Bitcoin Ordinals’ creators are not connected to the ORDI cryptocurrency listed on Binance.
