BRC-20 tokens are a type of token standard that operates on the Bitcoin blockchain. BRC-20 tokens enable the creation and transfer of fungible tokens within the Bitcoin network. Similar to the ERC-20 token standard on Ethereum and other EVM blockchain networks, BRC-20 tokens exist as an experimental standard utilizing ordinal inscriptions to define and manage the creation, distribution, and transfer of tokens.
With the Bitcoin BRC-20 token standard, tokens are created by attaching a JSON to satoshis through Bitcoin ordinals. This JSON code specifies the characteristics of the token, including its minting and distribution details. The Bitcoin network processes this information once the tokens are deployed. BRC-20 tokens are minted and spent in a manner similar to traditional tokens, requiring a Bitcoin ordinal wallet for minting, with each mint having a predefined limit.
The BRC-20 token standard has gained significant traction, with market capitalization exceeding $600 million and thousands of BRC-20 tokens already minted. Notable BRC-20 tokens include the Ordinal token (ORDI), SATS, RATS, DOVI, and OXBT. The BRC-20 token market boasts over $200 million in daily trading volume contributed by over 14,000 BRC-20 tokens. This standard has expanded the capabilities of the Bitcoin blockchain by allowing the creation, minting, and transfer of tokens beyond the native Bitcoin cryptocurrency.
BRC-20 tokens represent a new phase of technological advancement on the Bitcoin blockchain, enabling users to create, mint, and transact tokens (other than Bitcoin) within the network - a significant development in the world of crypto and blockchain technology. Find out how you can buy and sell BRC-20 tokens in the crypto market.