What is BRC-20 tokens and how they works?

[Gurujebs]

This inscription are made on each meta of bitcoin and this is possible because the developers are intentionally allowed it to be so.

I don't think developer intentionally allow it. IMO it's more accurate to say developer didn't expect people would try creating token on Bitcoin again since old token (such as USDT) on Bitcoin isn't popular.

Why I said they intentionally allowed it is not because they are not aware of BRC 20 tokens and minting of them. They knew about the Javascript inscription, not like they don't know anything about it, they know and instead of them to soft fork if and release an update to clean that bug, they didn't and live it openly for everyone to mess around with Bitcoin network, if it was another error they see in the network, they will be quick to solve this but because this particular involved transaction fees that compensate the miners, they let it be.

Who are in even the developers, majority of them are miners and they as also run a node so most of the activities of the Bitcoin network is known to them, they see and can point transaction that are ordinals and ordinary transactions, so I still think it's intentional but since it's doesn't security wise affect the network, I think we just need to keep watching.

[ABCbits]

This inscription are made on each meta of bitcoin and this is possible because the developers are intentionally allowed it to be so.

I don't think developer intentionally allow it. IMO it's more accurate to say developer didn't expect people would try creating token on Bitcoin again since old token (such as USDT) on Bitcoin isn't popular.

Why I said they intentionally allowed it is not because they are not aware of BRC 20 tokens and minting of them. They knew about the Javascript inscription, not like they don't know anything about it, they know and instead of them to soft fork if and release an update to clean that bug, they didn't and live it openly for everyone to mess around with Bitcoin network, if it was another error they see in the network, they will be quick to solve this but because this particular involved transaction fees that compensate the miners, they let it be.

Who are in even the developers, majority of them are miners and they as also run a node so most of the activities of the Bitcoin network is known to them, they see and can point transaction that are ordinals and ordinary transactions, so I still think it's intentional but since it's doesn't security wise affect the network, I think we just need to keep watching.

Now i get your point, although IMO term negligence is more accurate. And AFAIK most miner (based on total hashrate) aren't developer since mining these days.

[Charles-Tim]

Why they are doing these massive spam transactions?

Because they see potential profit from the Ordinals NFTs and also the BRC20 tokens. It is just like asking why there are ethereum (fungible and non fungible) tokens transactions.

Sometimes I feel like why those stupid weirdos spending 30K sat to send 1K sats? Does it make sense?

I guess you are referring to the NFTs because if it is BRC20 tokens, you can see that the fee is used to transfer tokens just as bitcoin is used to transfer bitcoin on the bitcoin blockchain. You can see coins like ORDI, SATS and many BRC20 tokens sent using bitcoin as transaction fee on bitcoin blockchain.

I don't think developer intentionally allow it. IMO it's more accurate to say developer didn't expect people would try creating token on Bitcoin again since old token (such as USDT) on Bitcoin isn't popular.

I can be wrong but I always think that bitcoin developers knew about it and they made made Ordinals to exist intentionally, although not all the developers. That is why some developers are now supporting it while some are against it.

Why I said they intentionally allowed it is not because they are not aware of BRC 20 tokens and minting of them. They knew about the Javascript inscription, not like they don't know anything about it, they know and instead of them to soft fork if and release an update to clean that bug, they didn't and live it openly for everyone to mess around with Bitcoin network, if it was another error they see in the network, they will be quick to solve this but because this particular involved transaction fees that compensate the miners, they let it be.

Do you mean that the developers knew about it after miners are already making money through Ordinals NFT and BTC20? Any improvement that will change that will make miners to either support or against it. Developers can propose but miners have the power in something like. No miners will support any developer that againsts Ordinals because they are making money from it and they will be the one that would win.

[ABCbits]

I don't think developer intentionally allow it. IMO it's more accurate to say developer didn't expect people would try creating token on Bitcoin again since old token (such as USDT) on Bitcoin isn't popular.

I can be wrong but I always think that bitcoin developers knew about it and they made made Ordinals to exist intentionally, although not all the developers. That is why some developers are now supporting it while some are against it.

I doubt it. Taproot activated in late 2021[1], while prototype of Ordinal software first released on 5 June 2022[2]  and Ordinals only gaining popularity since early 2023.

[1] https://www.coindesk.com/tech/2021/11/13/taproot-bitcoins-long-anticipated-upgrade-activates-this-weekend/
[2] https://github.com/ordinals/ord/releases?page=4

[ZAINmalik75]

In other words, BRC20 tokens are the cryptocurrencies that use the Bitcoin blockchain.

They are the same as erc20 tokens that use the Ethereum blockchain. They are called tokens because they do not have their own blockchain.

They will be only called coins if they create their own blockchain.

This is the most simplest explanation for these BRC 20 tokens, but I guess OP already knew this stuff. Almost everyone knows what are ordinals and BRC 20 tokens but most of the people who simply do trading don't know how do they work and what inscriptions are. Most of the airdrop users do know what an is inscription. Because those who are active in airdrops might have inscribed something yet. It is almost equal to minting.

And I just heard the news today that Binance has made a special marketplace for only ordinals which will increase their adoption despite the fact that many developers are working on a solution to eliminate the inscription method. This will cause a big dump in congestion on the BTC network.

[Litzki1990]

We often misunderstand that bsc or bep-20 platform token means the token listed on binance exchange. If we have this idea then we are in a big misconception. BSC Token means that token but not listed on Binance Exchange but BSC is a platform. Some of the important coins have separate platforms, Ethereum has its own platform, Matic has a separate platform Polygon and BSC has a separate platform. Sometimes new coins are introduced from different platforms. The coins on the Ethereum platform are likely to have a slightly higher value, but the gas fees on those platforms are much higher. Gas fee of BSC platform is very low compared to Ethereum platform due to which many investors invest in this platform.

[Gurujebs]

We often misunderstand that bsc or bep-20 platform token means the token listed on binance exchange. If we have this idea then we are in a big misconception. BSC Token means that token but not listed on Binance Exchange but BSC is a platform. Some of the important coins have separate platforms, Ethereum has its own platform, Matic has a separate platform Polygon and BSC has a separate platform. Sometimes new coins are introduced from different platforms. The coins on the Ethereum platform are likely to have a slightly higher value, but the gas fees on those platforms are much higher. Gas fee of BSC platform is very low compared to Ethereum platform due to which many investors invest in this platform.

You can't really blame them you know. When Uniswap was first launch as a Dex platform for ethereum but as soon as some group of people created similar bsc Dex platform that was named Pancakeswap, it gain a lot of confidence and people rush into and Binance listed it immediately, other than the projects saw the same thing and they developed many type of projects on BSC and they also got listed. The trend was going finely until when it became over saturated and then a Binance stop all of that listing of a thing. I don't know if you're familiar with phrase like "when Binance", the investors loves using that line to push for Binance listing but since CZ got arrested, all has stop.

[EthereumDev_]

We often misunderstand that bsc or bep-20 platform token means the token listed on binance exchange. If we have this idea then we are in a big misconception. BSC Token means that token but not listed on Binance Exchange but BSC is a platform. Some of the important coins have separate platforms, Ethereum has its own platform, Matic has a separate platform Polygon and BSC has a separate platform. Sometimes new coins are introduced from different platforms. The coins on the Ethereum platform are likely to have a slightly higher value, but the gas fees on those platforms are much higher. Gas fee of BSC platform is very low compared to Ethereum platform due to which many investors invest in this platform.

BSC tokens are tokens that are printed using the Binance network and do not have Binance support unless they collaborate with Binance Labs. For me, in cryptocurrency, you always have to read because there are so many networks created and you have to be careful when you want to do cryptocurrency so you always pay attention to the network. used the same or not.

[Stompix]

We often misunderstand that bsc or bep-20 platform token means the token listed on binance exchange. If we have this idea then we are in a big misconception. BSC Token means that token but not listed on Binance Exchange but BSC is a platform. Some of the important coins have separate platforms, Ethereum has its own platform, Matic has a separate platform Polygon and BSC has a separate platform. Sometimes new coins are introduced from different platforms. The coins on the Ethereum platform are likely to have a slightly higher value, but the gas fees on those platforms are much higher. Gas fee of BSC platform is very low compared to Ethereum platform due to which many investors invest in this platform.

Yeah but this is not about BSC, not about bep-20, no about Binance or Ethereum nd not about gas!
It's about brc-20 tokens on the Bitcoin network, that have literally zero to do with the ones you mentioned above!

A person by the name of lightning I think (don't know the name for sure) was poking around with ordinals theory.

And he found a bug, which made him able to inscribe any data, into the BC blockchain, the data could be of an image, video, text, media etc. This data then becomes a part of BTC blockchain. This inscription method became famous as it helped people to earn millions of dollars in no time. More and more people started to inscribe BTC which result in high congestion and more fee. Now, in my opinion, authorities are the ones who are dusting the BTC blockchain, because they want BTC to give a bad fame.

His name was Rodarmor, and it's not a bug and it's nothing new.
Inscriptions and stuff stored in the blockchain happened for years before:
https://www.righto.com/2014/02/ascii-bernanke-wikileaks-photographs.html

It's just that Taproot lifted the limit of the data that can be stored, simple as that, allowing far more data to be linked (inscribed) to a satoshi!

[Learn Bitcoin]

We often misunderstand that bsc or bep-20 platform token means the token listed on binance exchange. If we have this idea then we are in a big misconception. BSC Token means that token but not listed on Binance Exchange but BSC is a platform. Some of the important coins have separate platforms, Ethereum has its own platform, Matic has a separate platform Polygon and BSC has a separate platform. Sometimes new coins are introduced from different platforms. The coins on the Ethereum platform are likely to have a slightly higher value, but the gas fees on those platforms are much higher. Gas fee of BSC platform is very low compared to Ethereum platform due to which many investors invest in this platform.

Well, I haven't checked this thread for a while and I didn't notice you posted this.  I don't know what we have to do with the thing you explained while this thread is all about BRC-20 tokens that are running on Bitcoin main net and not on the Binance smart chain. Binance just listed a few BRC-20 tokens because those developers had a deal with them to list them. That's it!

The fees on the Bitcoin network have been increased due to the massive transaction volume on the network and I don't think most Bitcoiners like it. Should I lock this thread? I don't think I would be able to learn something new!