diff --git a/src/pg/helpers.ts b/src/pg/helpers.ts
index e992a695..f156a2ac 100644
--- a/src/pg/helpers.ts
+++ b/src/pg/helpers.ts
@@ -1,4 +1,4 @@
-import { PgBytea, toEnumValue } from '@hirosystems/api-toolkit';
+import { PgBytea, logger, toEnumValue } from '@hirosystems/api-toolkit';
 import { hexToBuffer, normalizedHexString, parseSatPoint } from '../api/util/helpers';
 import {
   BadPayloadRequestError,
@@ -98,12 +98,25 @@ function updateFromOrdhookInscriptionRevealed(args: {
   const satoshi = new OrdinalSatoshi(args.reveal.ordinal_number);
   const satpoint = parseSatPoint(args.reveal.satpoint_post_inscription);
   const recursive_refs = getInscriptionRecursion(args.reveal.content_bytes);
-  const contentType = removeNullBytes(args.reveal.content_type);
+  const content_type = removeNullBytes(args.reveal.content_type);
+  let transfer_type = DbLocationTransferType.transferred;
+  if (args.reveal.inscriber_address == null || args.reveal.inscriber_address == '') {
+    if (args.reveal.inscription_output_value == 0) {
+      if (args.reveal.inscription_pointer !== 0 && args.reveal.inscription_pointer !== null) {
+        logger.warn(
+          `Detected inscription reveal with no address and no output value but a valid pointer ${args.reveal.inscription_id}`
+        );
+      }
+      transfer_type = DbLocationTransferType.spentInFees;
+    } else {
+      transfer_type = DbLocationTransferType.burnt;
+    }
+  }
   return {
     inscription: {
       genesis_id: args.reveal.inscription_id,
-      mime_type: contentType.split(';')[0],
-      content_type: contentType,
+      mime_type: content_type.split(';')[0],
+      content_type,
       content_length: args.reveal.content_length,
       number: args.reveal.inscription_number.jubilee,
       classic_number: args.reveal.inscription_number.classic,
@@ -131,7 +144,7 @@ function updateFromOrdhookInscriptionRevealed(args: {
       prev_offset: null,
       value: args.reveal.inscription_output_value.toString(),
       timestamp: args.timestamp,
-      transfer_type: DbLocationTransferType.transferred,
+      transfer_type,
     },
     recursive_refs,
   };
diff --git a/tests/brc-20/brc20.test.ts b/tests/brc-20/brc20.test.ts
index efedf8c4..ff1b42bb 100644
--- a/tests/brc-20/brc20.test.ts
+++ b/tests/brc-20/brc20.test.ts
@@ -225,6 +225,104 @@ describe('BRC-20', () => {
       expect(brc20FromInscription(insert)).toBeUndefined();
     });
 
+    test('ignores inscriptions spent as fees', () => {
+      const content = Buffer.from(
+        JSON.stringify({
+          p: 'brc-20',
+          op: 'deploy',
+          tick: 'PEPE',
+          max: '21000000',
+        }),
+        'utf-8'
+      );
+      const insert: InscriptionRevealData = {
+        inscription: {
+          genesis_id: '38c46a8bf7ec90bc7f6b797e7dc84baa97f4e5fd4286b92fe1b50176d03b18dci0',
+          number: 0,
+          classic_number: 0,
+          mime_type: 'application/json',
+          content_type: 'application/json',
+          content_length: content.length,
+          content: `0x${content.toString('hex')}`,
+          fee: '200',
+          curse_type: null,
+          sat_ordinal: '2000000',
+          sat_rarity: 'common',
+          sat_coinbase_height: 110,
+          recursive: false,
+          metadata: null,
+          parent: null,
+        },
+        recursive_refs: [],
+        location: {
+          genesis_id: '38c46a8bf7ec90bc7f6b797e7dc84baa97f4e5fd4286b92fe1b50176d03b18dci0',
+          block_height: 830000,
+          block_hash: '00000000000000000002c5c0aba96f981642a6dca109e6b3564925c21a98aa3e',
+          tx_id: '38c46a8bf7ec90bc7f6b797e7dc84baa97f4e5fd4286b92fe1b50176d03b18dc',
+          tx_index: 0,
+          address: '',
+          output: '38c46a8bf7ec90bc7f6b797e7dc84baa97f4e5fd4286b92fe1b50176d03b18dc:0',
+          offset: '0',
+          prev_output: null,
+          prev_offset: null,
+          value: '0',
+          transfer_type: DbLocationTransferType.spentInFees,
+          block_transfer_index: null,
+          timestamp: 1091091019,
+        },
+      };
+      expect(brc20FromInscription(insert)).toBeUndefined();
+    });
+
+    test('ignores burnt inscriptions', () => {
+      const content = Buffer.from(
+        JSON.stringify({
+          p: 'brc-20',
+          op: 'deploy',
+          tick: 'PEPE',
+          max: '21000000',
+        }),
+        'utf-8'
+      );
+      const insert: InscriptionRevealData = {
+        inscription: {
+          genesis_id: '38c46a8bf7ec90bc7f6b797e7dc84baa97f4e5fd4286b92fe1b50176d03b18dci0',
+          number: 0,
+          classic_number: 0,
+          mime_type: 'application/json',
+          content_type: 'application/json',
+          content_length: content.length,
+          content: `0x${content.toString('hex')}`,
+          fee: '200',
+          curse_type: null,
+          sat_ordinal: '2000000',
+          sat_rarity: 'common',
+          sat_coinbase_height: 110,
+          recursive: false,
+          metadata: null,
+          parent: null,
+        },
+        recursive_refs: [],
+        location: {
+          genesis_id: '38c46a8bf7ec90bc7f6b797e7dc84baa97f4e5fd4286b92fe1b50176d03b18dci0',
+          block_height: 830000,
+          block_hash: '00000000000000000002c5c0aba96f981642a6dca109e6b3564925c21a98aa3e',
+          tx_id: '38c46a8bf7ec90bc7f6b797e7dc84baa97f4e5fd4286b92fe1b50176d03b18dc',
+          tx_index: 0,
+          address: '',
+          output: '38c46a8bf7ec90bc7f6b797e7dc84baa97f4e5fd4286b92fe1b50176d03b18dc:0',
+          offset: '0',
+          prev_output: null,
+          prev_offset: null,
+          value: '1000',
+          transfer_type: DbLocationTransferType.burnt,
+          block_transfer_index: null,
+          timestamp: 1091091019,
+        },
+      };
+      expect(brc20FromInscription(insert)).toBeUndefined();
+    });
+
     test('ignores incorrect p field', () => {
       const insert = testInsert({
         p: 'brc20', // incorrect