Phenomenal #BRC-20 tokens have been launched on the Bitcoin blockchain, just like Ordinals NFT, and early users have already made a lot of money. So how does it work? Is it worth buying? What is the potential of these tokens? Are there any tutorials on this?
Below we will answer your questions one by one!
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BRC-20 Token
What is it?
The BRC-20 token was created by @domodata (Twitter) on March 8, 2023 as an experimental fungible token standard for Bitcoin. The BRC-20 standard allows for the deployment of exchangeable tokens on the Bitcoin blockchain. Since their creation, they have brought a lot of activity to Bitcoin.
The first BRC-20 token created was $ORDI. Since its creation, its price has skyrocketed, with original holders making millions 💰. Its current market capitalization is approximately $200 million, which accounts for two-thirds of the total market capitalization of all BRC-20 tokens.
This standard attracted a lot of attention after its launch, so much so that centralized exchanges (CEX) began looking for solutions to list BRC-20 tokens.
Here is an article published by Binance:
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Is it worth buying?
Let me emphasize here that we do not provide any investment advice, only popular science. We cannot guide you on whether you should purchase BRC-20 tokens. $ORDI has risen a lot 🚀 and is likely to adjust significantly 📉.
Since these coins are hard to come by right now, many people are looking to mint or buy them. why? Because if listed on an exchange, the price could still rise significantly. Especially for $ORDI as it is the first BRC-20 token!
If interested, there is a tutorial below on how to interact with these new tokens.
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BRC-20 Tutorial
You need to understand the following:
Minting: You can pay the gas fee to mint tokens for free
Purchase: You can purchase already minted tokens, but you must gain access to the market.
Tutorial:
1️⃣ First, you need a non-custodial Bitcoin wallet
Go to https://unisat.io
Click the download button in the upper right corner
Download and create your wallet
Keep your mnemonic phrase in a safe place!
Select "Taproot" as the address type
2️⃣ Recharge your wallet
You first need to create a wallet, which operates in the same way as other non-custodial wallets, such as Metamask.
Copy your deposit address and deposit an amount of #BTC from an exchange (such as Binance) into your wallet.
⚠️ Please make sure to deposit enough funds to pay the mining fee and purchase the items you want
⚠️If you are not sure how much you need to top up, please continue reading this tutorial.
Now you have two options, as mentioned before: buy or mint the tokens.
However, if you want to buy, you will need to gain access to the marketplace. To gain access, you need to collect 20 UniSat points, and to earn these points, you need to complete 20 transactions.
To earn UniSat points we need to first mint some tokens.
3️⃣ Casting
Go to the "brc-20" section
Click on any token that has not reached 100% progress, such as $sats
Click the "Direct Cast" button
Set "Repeat Minting" to 20 to perform 20 transactions at once
Set the gas fee to custom and submit the transaction
This way you complete 20 transactions and unlock the required 20 UniSats points. The transaction cost approximately $671.
I chose a custom gas fee because the Bitcoin blockchain doesn't scale well. If you set the gas fee too low, you may suffer from front-loaded transactions. (Of course you can do it when the network is not congested, so the cost will be lower, maybe only a few dozen dollars)
By accessing the browser https://blockchair.com, you can view the status of your transactions in real time.
Transaction confirmation can take minutes or even hours.
However, your UniSats points will be counted even if the transaction has not yet been confirmed on the blockchain.
After earning UniSats points, you can now trade BRC-20 tokens 🥳
It should be noted that BRC-20 tokens are currently not divisible and can only be traded between individuals in the market. Therefore, when purchasing these tokens, you need to accept the seller's offer in a round number (e.g. 50, 100, 200, etc.).
4️⃣ Purchase process
Return to the market page and click the "Unlock" button
Pick a token "package" (eg: $200 of #Ordi ) and click "Buy"
Confirm transaction with your wallet
⚠️ Please note that you need to reserve 1.6% of the amount as platform fee when purchasing, and pay a gas fee of US$10 to US$20.
Congratulations! Now you know how to buy, mint, and sell BRC-20 tokens before the crowds.
✋Final reminder:
Anyone can deploy BRC-20 tokens! Before deciding to mint or buy tokens, we strongly recommend you to get in-depth information, as 90% of tokens may be worthless and eventually worth zero.
Hope this article is helpful to you.
Disclaimer: This article is for popular science purposes only and does not constitute any investment advice!
Planning and production
Typesetting: 9iMxxx | Text: monica
Posted by: NFT Gamer
