<p>BRC-20 tokens represent a significant innovation on the Bitcoin network, differing fundamentally from ERC-20 tokens. Here&#39;s a comprehensive guide to understanding what sets BRC-20 tokens apart.</p><h3 id=""></h3><h3 id="what-are-brc-20-tokens">What are BRC-20 Tokens?</h3><p>BRC-20 tokens are a novel token standard on the Bitcoin blockchain, inspired by Ethereum&#39;s ERC-20. These tokens allow the creation and trading of fungible assets through the Ordinals protocol. Unlike ERC-20 tokens, BRC-20 tokens function independently of smart contracts, instead relying on the inscription of data onto Satoshis, the smallest Bitcoin unit. This capability has extended Bitcoin&#39;s utility beyond NFTs.</p><p></p><h3 id="how-do-brc-20-tokens-work">How do BRC-20 Tokens Work?</h3><p>Leveraging Bitcoin&#39;s 2021 Taproot upgrade, BRC-20 tokens use the increased block size to incorporate digital content on Satoshis. Each Satoshi receives a unique ordinal number, allowing for the creation of NFT-like assets on Bitcoin. The tokens are essentially JSON files attached to Satoshis, defining attributes like name, symbol, and supply.</p><p></p><h3 id="brc-20-vs-erc-20">BRC-20 vs. ERC-20</h3><p>BRC-20 tokens differ from ERC-20 in their blockchain of operation (Bitcoin vs. Ethereum) and their method of execution (JSON inscriptions vs. smart contracts). This distinction creates unique transaction dynamics on the Bitcoin network.</p><p></p><h3 id="potential-use-cases-and-growth-of-brc-20">Potential Use Cases and Growth of BRC-20</h3><p>Still in the experimental phase, BRC-20 tokens show promising potential for diverse applications in the crypto space. The market has seen rapid growth, with platforms like LBank already adapting to list BRC-20 tokens. Popular tokens include ORDI, which is now tradeable on LBank.</p><p></p><h3 id="how-to-purchase-brc-20-tokens">How To Purchase BRC-20 Tokens</h3><p>BRC-20 tokens can be acquired through exchanges like LBank or decentralized platforms. A taproot-enabled BTC wallet is required for transactions.</p><p></p><h3 id="conclusion">Conclusion</h3><p>BRC-20 tokens are reshaping the crypto landscape, offering a new realm of possibilities on the Bitcoin blockchain. As they continue to evolve, their impact on decentralized applications and peer-to-peer transfers is expected to be significant.</p>

All You Need To Know About BRC-20 Tokens

Table of Contents

LBank

Other articles published on Dec 22, 2023

Ripple CEO calls out SEC chief Gensler over ‘stunning hypocrisy’

Why Is Tellor’s TRB Surging? Major Resistance Broken, Price Is ‘Inevitably’ Going to This Level Next

Prominent Backers of Shiba Inu and Cardano Now Eyeing an Emerging Cryptocurrency

Elon Musk anticipates mid-2024 launch for X’s in-app payment services

Is It Too Late to Buy Optimism? OP Price Rockets Up 26.8% as the Latest Meme Coin Prepares to Launch

Binance on High Alert: Massive Breach and Sale of Personal Data!

Join our free newsletter for daily crypto updates!