Domo, the founder of Brc-20, introduced himself on Twitter: "Terminally on-chain || Dune wizard || Alf bot || Crypto trad payments leader".
Brc-20 is the experimental alternative token standard for Bitcoin proposed by him based on the Ordinals protocol. In fact, it is practicing what he said - to be truly decentralized and to be the leader in crypto trade payments.
As the popularity of BRC-20 in the market gradually increases, more and more encryption researchers have also turned their attention to this field. We at Go2Mars Research also published the first original popular science article on the brc-20 protocol on April 28, 2023: "Bitcoin NFT?" Ordinals Protocol and BRC-20》.
Since the article was published, the brc-20 related ecology has become more and more prosperous, so we turn our attention to domodata, the promoter of the brc-20 ecology, to unveil the mystery of the "V God" behind the Ordinals protocol.
Ordinals Protocol: Bitcoin’s Satoshi Era
Bitcoin, with a circulating market value of US$545.7 billion, is undoubtedly the number one crypto asset. Although Bitcoin is not Turing complete and does not carry the same strong scalable ecological development as Ethereum, it is precisely for this reason that it has maintained its core attributes of decentralization, free transactions, and value for more than ten years. Safe and simple Bitcoin is just like the title of Satoshi Nakamoto’s article “Bitcoin: A Peer-to-Peer Electronic Cash System”.
Since the emergence of the Ordinals protocol, greater space has been opened up for the Bitcoin ecosystem. The Ordinals protocol numbers and annotates the smallest unit of Bitcoin "sat", making each originally homogeneous satoshi a unique "NFT". 1btc=100 million sat, the number of satoshis is as limited as the total number of bitcoins. Bitcoin has officially entered the "Satoshi Era", whose significance can be compared to the smart contract era of Ethereum. Bitcoin has higher scalability, assets can be issued in it, and a more complete ecological system can be established. The most important one in the Bitcoin ecosystem right now, so much so that the initial ecosystem was established in just two months after it was proposed, is the brc-20 protocol.
Long-lost carnival: The market for brc-20 heats up
The brc-20 protocol is a technology that uses the Ordinals protocol to create and trade fungible tokens (FT) on the Bitcoin blockchain. It uses JSON data to deploy token contracts, mint tokens, and transfer tokens.
Judging from the market on 5.8, there are currently more than 14,000 brc-20 tokens in total, with a total market value of US$540 million. The trading volume in the past 24 hours has reached more than 10 million US dollars. Although it is not high compared to the entire encryption market, its growth rate is still amazing.
This also detonated the Bitcoin market. On the 7th, the Bitcoin network handling fee was 403.91 BTC. Just a month ago, on April 8, the single-day Bitcoin network handling fee was only 21.89 BTC, an increase of nearly 18 times. The price of Ordi, the first token issued under the brc-20 standard, also rose from US$0.1 to US$16.99 in just two weeks.
On the other hand, the prosperity of the BRC-20 market has led to investors paying more and more attention to the concept of Bitcoin NFT.
Compared with the essence of ERC-721 NFT - the existence of pictures on IPFS servers guaranteed by smart contracts, the NFT engraved by brc-20 is truly and completely stored on the chain. This is also the reason for some Bitcoin enthusiasts and decentralized practices. The reason why the traveler is so excited. The implementation of the protocol is based on immutable Ordinal inscriptions, and the stored data will be permanently retained in the Bitcoin chain.
Domo brc-20
The founder of Brc-20, domo, introduced himself on Twitter as "Terminally on-chain || Dune wizard || Alf bot || Crypto trad payments leader". The most important thing is also reflected in the following self-description, that is, encryption The leader in trade payments.
brc-20 is an experimental alternative token standard for Bitcoin proposed by him on the basis of the Ordinals protocol. It is actually practicing what he said - true decentralization and the issuance of encrypted assets with Bitcoin.
Of course, in its white paper, Domo clearly stated that BRC-20 is just an interesting experimental standard, demonstrating that anyone can use inscriptions to create an off-chain equilibrium state, although this is not considered to be the fungibility of Bitcoin and ordinal. standard. He encourages the Bitcoin community to tinker with standard designs and optimizations until there is a general consensus on best practice performance.
On March 6, he focused on Ordinals’ expansion into the market in the shadow of Blur’s conflict with Opensea, where a fierce battle for infrastructure is underway as Ordinals’ popularity explodes. Among them, Ordinals Market uses the existing Ethereum infrastructure and uses technology developed by Emblem Vault to promote Bitcoin inscription transactions on the Ethereum blockchain to avoid the problems of slow Bitcoin network speed and poor experience. Others use novel Bitcoin native solution.
On March 9, he informally proposed Bitcoin “brc-20” and fungibility experiments. Under this logic, anyone can use the serial number inscription to deploy, cast or transfer. As with other similar programs, a "first come, first served" rule applies.
By looking through his previous tweets, we can see that domo follows some interesting ERC-721 NFT projects, sometimes retweets some project team tweets, and also reads and participates in some interesting memes (including Trump NFTs) . He holds CryptoPunks and often expresses his opinions on applications and ideas about ordinal numbers.
Bitcoin Innovation: BOP and ORC-20, BRC-721
In addition to Domo, there are many developers actively promoting Bitcoin innovation. Hugo, the developer of Hirosystem, also experimentally proposed a new protocol BOP after brc-20 was proposed, namely Bitcoin ordinals protocols. BOP is also an experimental standard used to describe the use of ordinals on Bitcoin. agreement. His idea was to explore whether a lighter data structure than json could be used to optimize fees and block space. The cast-to-transfer method is also detailed in the BOP protocol and is more scalable relative to brc-20.
Not only that, OrcDAO also launched the ORC-20 protocol. ORC-20 is an open standard for serialized tokens on the Bitcoin network, enhancing the functionality of the popular serialized token standard BRC-20. It is designed to be backwards compatible with BRC-20 to increase adaptability, scalability and security and eliminate the possibility of double spending. Of course, this is also an experimental project.
In addition, BRC-721: Ordinals Collection Protocol is also attractive. It is a standard interface for verifying the authenticity of Bitcoin ordinal collections. For the current Ordinal protocol, the root of the problem is that ordinal theory does not clearly stipulate how to organize items into sets, resulting in various different processing methods.
However, these methods tend to be centralized and dependent on the specific service or wallet used. This situation limits the development potential of the Ordinal ecosystem. Therefore, it is necessary to find a decentralized and trustless method of collection creation and verification.
The BRC-721 protocol introduces a decentralized and trustless method for creating sets and validating them, similar to the ERC-721 standard on the Ethereum blockchain. By providing a single source of truth, the collection creation and verification process is streamlined and requires no upfront costs.
Innovation and expansion of Bitcoin ecosystem
The core function of Bitcoin is value storage rather than execution. The high development of the Ethereum ecosystem comes from its EVM and smart contracts. Therefore, how to perform complex operations on the Bitcoin network has become the biggest obstacle to the prosperity of the Bitcoin ecosystem. As more and more developers and researchers turn their attention to this purest cryptocurrency, we have reason to believe that the BTC ecosystem will gradually prosper.
Of course, we still need to wait for time to answer whether such development on the Bitcoin network goes against the original vision of BTC and what impact it will have on BTC. As an investment research institution in the field of blockchain technology and applications, Go2Mars Research will continue to track the BTC ecosystem, analyze its development trends and influencing factors, and provide readers with valuable information and suggestions.
references:
[1] Ordinalswallet：https://ordinalswallet.com/
[2] Ordi：https://brc-20.io/token?n=ord
[3] Ordinals handbook: https://docs.ordinals.com/
[4] BRC-20：https://domo-2.gitbook.io/brc-20-experiment/i
[5] Domo @domodata：https://twitter.com/domodata
[6] 《bitcoin ordinal protocols》https://github.com/hugocaillard/bop
[7] Hugo Clrd @Cohars：https://twitter.com/Cohars/status/1634595882854240256
[8] 《About ORC-20>：https://docs.orc20.org/
[9] 《BRC-721: Ordinals Collection Protocol》：https://www.brc721.com/
