Analysis of the Current Development Status of the Ordinals Ecosystem

Since the birth of the Bitcoin Ordinals ecosystem at the beginning of the year, it has experienced rapid development and a stable period. Although market sentiment has shifted from initial optimism to skepticism, the development of the Ordinals ecosystem has never stopped. Recently, the emergence of some new protocols such as brc420 and arc20 has once again attracted widespread attention. This article will provide a detailed analysis of the development status of various major protocols within the Ordinals ecosystem.

Brc20: Token Contract on the Bitcoin Chain

The Brc20 protocol was born on March 8, 2023, allowing for the deployment of token contracts, minting, and transfers on the Bitcoin chain. Its first token, ORDI, saw an astonishing surge that quickly made Ordinals popular. As of September 23, the Brc20 protocol has generated 28.6 million transactions with a fee of 1,590 Bitcoins. Although trading activity has declined somewhat, it remains continuously active. Currently, a certain wallet platform is developing the brc20-swap feature aimed at improving token liquidity issues.

Orc20: An Enhanced Version of Brc20

The Orc20 protocol aims to enhance the functionality of Brc20, improving its adaptability, scalability, and security. However, since late July, the development of this protocol seems to have stalled. During its brief active period, Orc20 generated a total of 370,000 transactions, consuming fees worth 24 bitcoins.

Bitmap: The Metaverse on the Bitcoin Chain

The Bitmap protocol is dedicated to building a metaverse on the Bitcoin chain, allowing users to engrave spatial assets of Bitcoin blocks. Currently, the incomplete statistics of Bitmap map transactions have reached 120 Bitcoins, with more than 22,000 holding addresses. Community discussions mainly revolve around how to expand and enrich the Bitmap protocol.

gBRC721: Blockchain Space Optimization

The gBRC721 protocol aims to optimize blockchain space usage, achieving a space saving of 50%-90%. Although its representative project OrdiBots once sparked a craze, the current application of the protocol is limited, and community activity is relatively low.

Recursive inscription: Complex applications on the Bitcoin chain

Recursive inscriptions aim to break through the Bitcoin block size limit, allowing complex applications to run on the Bitcoin chain. However, there is currently a lack of substantial project development based on this technology.

Trac: Decentralized Index

The Trac protocol is dedicated to solving the decentralized indexing problem of the Ordinals ecosystem. Its governance token TRAC has performed excellently, with a trading volume of 2.1 million dollars. Trac has collaborated with multiple projects and launched a new Tap protocol, providing developers with more flexible token creation options.

ORC-CASH: Cash-like Token System

The ORC-CASH protocol aims to implement a cash-like token system on the UTXO network. Its first token, OSH, has performed well, and the development team continues to promote project development.

Brc420: Inscription Royalty Feature

The Brc420 protocol introduces a more complex asset format that allows for the setting of usage rights and royalties for inscriptions. This protocol has launched experimental tokens and has partnered with several Ordinals ecosystem projects.

Arc20: Simplified Creation of Digital Objects on Bitcoin

The Arc20 protocol addresses the issue of representing fungible token assets on the Bitcoin blockchain. Although it was launched later, its first token, ATOM, quickly sparked heated discussions in the community, with a significant increase in its opening price.

Summary

Since the birth of the Ordinals ecosystem, more than 33.9 million inscriptions have been generated, with over 600,000 holding addresses and nearly 45 million total transactions. Despite experiencing ups and downs, new protocols and projects continue to emerge, and developers are consistently working to improve the ecosystem. From an investment perspective, paying attention to new protocols and low-cost inscription projects may present opportunities. In the long term, the Ordinals ecosystem is still worth ongoing attention.