Bitcoin (BTC), the pioneer in blockchain networks, was initially created to facilitate the secure and safe storage and transfer of digital assets. Upon its launch in January 2009, there was no anticipation that the network would need to handle more advanced functionalities.
However, the advent of Ethereum (ETH) and other smart contract chains a few years later significantly altered the expectations for blockchain capabilities. This led to the emergence of new applications like decentralized apps (DApps) and non-fungible tokens (NFTs).
Bitcoin, with its core functionality, struggled to adapt to these innovations. Until early 2023, Bitcoin was excluded from these developments, as developers and creators believed that NFT functionality was not feasible on the Bitcoin network.
However, everything changed with the introduction of the Bitcoin Ordinals protocol, allowing Bitcoin users to create native NFTs directly on the Bitcoin chain. Subsequently, inspired by the Ordinals protocol, the BRC-20 experimental token standard was also introduced, aiming to enable semi-fungible tokens on the blockchain.
What are BRC-20 Tokens?
Introduced on March 9, 2023, by an unidentified developer known as Domo, BRC-20 tokens utilize an innovative standard to generate fungible tokens directly on the Bitcoin network.
Unlike widely used token standards on Ethereum Virtual Machine (EVM) blockchains, the BRC-20 standard deviates by not relying on smart contracts. Instead, it allows users to store a script file on the Bitcoin network, utilizing it to attribute tokens to individual satoshis. BRC-20 tokens incorporate JSON data into ordinal inscriptions, facilitating users in deploying, minting, and transferring tokens.
The inaugural BRC-20 tokens were equipped with JSON data specifying the token’s name, a minting limit of 1,000 tokens per batch, and a maximum cap of 21 million tokens:
Despite being acknowledged as an experimental endeavor for fostering fungibility, BRC-20 tokens have garnered significant attention within the Bitcoin community. This curiosity has prompted other enthusiasts to experiment with crafting their own BRC-20 tokens.
Concurrently, infrastructure providers such as wallet services and marketplaces have initiated the integration of BRC-20, allowing their users to seamlessly mint and exchange these tokens.
Top 5 BRC-20 Tokens
▪️ Ordi (ORDI):
| Current Price | ₹4,799.11 |
| Market Cap | ₹100.63 Billion |
| Total Supply | 21,000,000 |
ORDI stands out as the foremost BRC-20 token in terms of market capitalization, establishing itself as a prominent figure in this burgeoning category. Much like other BRC-20 tokens, each ORDI token is linked to individual satoshis on the Bitcoin network. This linkage is established through a JSON format file detailing the token’s specific properties, creating the potential for each ORDI to be regarded as a distinctive NFT.
Despite this possibility, ORDI, along with other BRC-20 tokens, can also possess an identical nature, exemplifying a fundamental characteristic of fungible crypto assets. This intriguing combination of fungibility and uniqueness has led to the classification of ORDI and similar tokens as semi-fungible.
However, ORDI, characterized as a meme coin, lacks substantial practical applications. Meanwhile, it is crucial to note that the absence of immediate utility does not equate to worthlessness. The ascent of Dogecoin (DOGE) has underscored the long-term return on investment potential associated with certain meme coins.
Remarkably, from its inception in early May 2023 till today, ORDI has witnessed an impressive appreciation of over 125%, a growth rate seldom achieved by many other cryptocurrencies.
▪️ Sats Ordinals (SATS):
| Current Price | ₹0.00003735 |
| Market Cap | ₹85.67 Billion |
| Total Supply | 2,100 Trillion |
SATS signifies a token associated with the Ordinal protocol that uses the BRC-20 token standard on the Bitcoin network. The word “SATS” is derived from ‘Satoshi’, the smallest unit of Bitcoin. Each bitcoin can be divided into 100 million satoshi. Although SATS does not represent the lowest division of Bitcoin, it does serve as a reference to the well-known cryptocurrency.
Unlike many tokens built to thrive within the blockchain ecosystem or the larger field of crypto assets, SATS distinguishes out as a meme token created simply for entertainment purposes.
SATS BRC-20 tokens have opened up new possibilities for the Bitcoin network, such as enabling tokenization and seamless peer-to-peer transfers, as well as investigating possible applications in decentralized finance (DeFi).
The adoption of SATS has sparked spirited discussions in the Bitcoin community. This narrative emphasizes the ways in which innovation and emerging technology might help, as well as the obstacles to incorporating them into existing systems.
Surprisingly, from its launch in late September 2023 to today, SATS has seen a stunning increase of more than 4355%, a growth pace rarely achieved by other cryptocurrencies.
▪️ Rats Ordinals (RATS):
| Current Price | ₹0.0186 |
| Market Cap | ₹18.6 Billion |
| Total Supply | 1,000,000,000,000 |
RATS (RATS) is a unique meme token inspired by animals that runs on the Bitcoin network while adhering to the BRC-20 token standard. Its name is derived from the world’s most abundant mammal, the rat.
Though classified as a meme token with no intrinsic benefit, RATS distinguishes itself by its unique characteristics. Surprisingly, RATS runs without a formal whitepaper, website, or plan. Nonetheless, its inherent scarcity, based on the BRC-20 token standard, makes it a potentially valuable asset in the long run.
Furthermore, RATS’ reliance on the BRC-20 token standard, which serves as its base, adds a layer of scarcity and uniqueness to the meme token. Unlike traditional tokens, RATS uses Bitcoin for creation, transfer, and storage, increasing scarcity while hinting at its potential long-term worth. Furthermore, the token has made a tremendous 201% profit since its debut.
▪️ VMPX (Ordinals):
| Current Price | ₹3.61 |
| Market Cap | ₹394.74 Million |
| Total Supply | 108,620,000 |
VMPX Coin is a BRC-20 coin created by Jack Levin, the mastermind behind XEN Crypto. It was first introduced in May 2023, closely following “first principles.” Levin’s strategy included issuing the currency without pre-mining, avoiding a reserved allocation for the founder, and keeping immutable code.
VMPX acts as both a BRC-20 token on the Bitcoin blockchain and an ERC-20 token on the Ethereum network. Those who own VMPX tokens can actively earn yield by providing liquidity between the two chains and participating in staking within the bridge liquidity pool. This not only increases liquidity but also rewards users for their active participation.
Furthermore, the adaptability of VMPX’s infrastructure allows token holders to swap their tokens 1:1, whether from BRC-20 to ERC-20 or vice versa. This is a huge step towards permitting cross-chain exchanges.
▪️ DOVI (Ordinals):
| Current Price | ₹39.66 |
| Market Cap | ₹594.41 Million |
| Total Supply | 15,000,000 |
Dovi has emerged as a community-oriented Bitcoin Layer 2 platform that is compatible with the Ethereum Virtual Machine (EVM). It is strategically designed to improve scalability, lower transaction costs, and contribute to establishing a more secure and decentralized financial ecosystem.
In a significant development, KuCoin Labs, the incubator and investment arm associated with the KuCoin ecosystem, has made a strategic investment in Dovi, recognizing its potential and importance in the blockchain space.
The Dovi Protocol, Dovi’s Bitcoin Layer 2, is an innovative solution crafted to enhance the functionality, efficiency, and scalability of the Bitcoin network. This progress is achieved by integrating cutting-edge technologies and inventive concepts while maintaining Bitcoin’s core strengths in decentralization and security.
A notable feature of this Layer 2 solution is its significant impact on transaction speed and processing capacity. It introduces smart contract capabilities to enable complex applications and supports cross-chain interoperability, aiming to optimize user experience, transaction efficiency, and overall security within the Bitcoin network.
Dovi is committed to pioneering inventive solutions for Bitcoin Layer 2, with a specific focus on improving user experience and transaction efficiency in the broader BTC ecosystem. The strategic investment from KuCoin Labs further strengthens Dovi’s position as a key player in the evolution of blockchain technology.
How to Buy These Coins on SunCrypto?
To engage in the trading of these top 5 BRC-20 Tokens on SunCrypto, start by downloading the application and going through the registration and KYC verification process. Following this, deposit funds into your SunCrypto account by adding a bank account and transfer INR through IMPS or other supported options.
Once your INR deposit is made on SunCrypto, navigate to the market section to purchase the BRC-20 Tokens. For a more detailed guide on cryptocurrency trading on SunCrypto, you can refer to this video by clicking here (LINK: https://youtu.be/Xcgsq-jhHck?si=v1Bdf1Yly-lGDvq4).
However, it’s crucial to be aware that investing in cryptocurrencies involves a high level of risk, so conduct thorough research before investing in any such digital assets.
Conclusion
Despite modest market caps, BRC-20 tokens are gaining traction, boasting growth rates few niches can match. The main criticism is their perceived lack of utility and intrinsic value. While most are meme coins for fun, some like VMPX, CSAS, and TRAC have significant future use cases.
Currently, the absence of smart contract functionality on Bitcoin hampers BRC-20 tokens’ practical use. However, ongoing introductions of Layer 2 solutions aim to address this issue. If successful, these solutions could provide a substantial boost to BRC-20 tokens, backed by real applications rather than just memes and jokes.
To learn more about BRC-20 Tokens, go check out SunCrypto Academy.
Disclaimer: Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. All content provided is for informational purposes only, and shall not be relied upon as financial/investment advice. Opinions shared, if any, are only shared for information and education purposes. Although the best efforts have been made to ensure all information is accurate and up to date, occasionally unintended errors or misprints may occur. We recommend you do your own research or consult an expert before making any investment decision. You may write to us at [email protected].
