Bitcoin Ordinals, (BTC: $ORDI) a protocol credited to Casey Rodarmor, facilitates the unique identification and transaction of individual satoshis (SATs) within a Bitcoin blockchain by attaching extra data.
(A satoshi is the smallest unit of bitcoin currency, equivalent to 100,000,000 satoshis in a single bitcoin.) This innovation enables the creation of non-fungible tokens (NFTs) directly on the Bitcoin blockchain, often referred to as Ordinal NFTs.
Historically, bitcoins were interchangeable and indistinguishable from one another. Rodarmor’s protocol brought about a significant change by leveraging two updates to the original Bitcoin protocol: Segregated Witness (SegWit) and Taproot.
The Segregated Witness update separated witness information (or witness script) from transaction data, storing it in a distinct data structure on the blockchain. This modification not only increased Bitcoin’s block size but also enabled users to embed image and video data within the witness script, alongside digital signatures and other validation information.
What Is Ordinal NFTs?
NFTs serve as distinct digital assets authenticated on a blockchain to safeguard the creator’s intellectual property.
While NFTs on Ethereum or Solana blockchains utilize metadata off-chain to document ownership and authenticity, Ordinal NFTs on the Bitcoin blockchain take a unique approach. They not only reference metadata but can also store the digital asset directly on-chain within a transaction’s witness data.
To generate an Ordinal NFT, users initiate the process by sending an ordinal SAT to a Taproot-compatible wallet, incorporating data and metadata within the transaction. Once the transaction is mined, the inscription becomes permanently embedded on the first satoshi of the initial output.
Traditionally, this procedure involves running a Bitcoin node, syncing the entire Bitcoin blockchain, and utilizing command-line interfaces—a potentially challenging task for non-technical users. However, the emergence of no-code ordinal mining applications has simplified the process, enabling even less technically proficient users to upload content for inscriptions and create Ordinal NFTs.
Distinguishing Traits of Bitcoin Ordinals from NFTs
- On-chain Minting: Diverging from conventional NFTs, Ordinals store the raw file data directly in the Bitcoin blockchain, eliminating the necessity for external file references.
- Inscription vs. Tokenization: The fundamental distinction lies in the process of inscription. Ordinals directly engrave data onto the Bitcoin blockchain, whereas NFTs tokenize by generating entirely new tokens on various blockchain networks..
- Smart Contract Functionality: Bitcoin Ordinals suffer from a lack of smart contract functionality, affecting their tradability. This requires transactions to be conducted through over-the-counter (OTC) models instead of decentralized exchanges.
- Concurrency Issues:The inscription process enables multiple inscriptions on Satoshi units, introducing the potential for concurrency issues—a unique characteristic not found in traditional NFTs.
ORDI Price Live Data
The current price of ORDI is $23.16 USD, with a 24-hour trading volume of $317,626,422 USD. Our real-time updates reflect the ORDI to USD price. Over the last 24 hours, ORDI has experienced a decrease of 8.52%.
It currently holds the #90 position on CoinMarketCap, boasting a live market cap of $486,370,035 USD. The circulating supply consists of 21,000,000 ORDI coins, matching the maximum supply of 21,000,000 ORDI coins.
BTC Ordinals Token Ecosystem Emerges as Latest Crypto Play, Led by ORDI Hype
Following weeks of a bitcoin price frenzy driven by expectations of an exchange-traded fund approval, tokens based on the Bitcoin blockchain have emerged as the latest trend among market participants.
In the past 24 hours, the BRC-20 category of tokens has surged by 21% as a sector. Leading the gains are infrastructure token trac (TRAC) with a 93% rise, followed by meme (MEME) at 69%, and nals (NALS) at 36%.
Introduced in April, the BRC-20 standard (BRC standing for Bitcoin Request for Comment) enables users to issue transferable tokens directly through the network. These tokens, known as inscriptions, operate on the Ordinals Protocol. This protocol allows users to embed data into the Bitcoin blockchain by inscribing references to digital art into small bitcoin-based transactions.
Recently, ordi (ORDI), a token linked to the Ordinals Protocol, was listed on the influential Binance exchange, resulting in a 50% price surge within hours. This listing fueled bullish sentiment among traders, speculating that the Bitcoin token ecosystem could provide a new avenue for profit-seeking.
Data from the Ordinals tracker OrdSpace indicates that there are over 37,000 BRC-20 tokens in existence as of Thursday.
Additionally, some popular social applications built on Bitcoin have started introducing in-game tokens to attract new users and enhance revenues. Alpha, an application allowing X (formerly Twitter) personalities to issue ‘keys’ for access to a closed group chat, recently enabled users to offer their own tokens.
These in-app tokens are designed to be more affordable than ‘keys,’ allowing holders to participate in community games and lottery wheels. Describing itself as a “super app,” Alpha provides users with a decentralized exchange, an NFT marketplace, and a gaming store.
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