Why should the inscriptions follow the DMT principle?#内容挖矿 #热门话题

On December 28, 2023, we released the world's first standardized indexer, UXUY Indexer, which officially serves the inscription track. As a multi-chain DEX, why do we want to be an indexer? How do you view inscriptions as an emerging asset? What do we predict for the future? I want to write down my thinking process and share it with you.

Inscriptions were born from Bitcoin, Ordinals, and spread to the multi-chain ecosystem, with a hundred flowers blooming and accompanied by wild growth. At this moment, we must call on inscriptions to embrace Bitcoin and the spirit of Satoshi Nakamoto. This sentence is a bit abstract, and a more accurate description should be to follow the DMT principle.

So, what is the DMT principle and why is it so important?

The full name of DMT is Deploy, Mint, Transfer. Any participant should enjoy the three rights of DMT on the chain without relying on a centralized third party.

As Satoshi Nakamoto mentioned in the Bitcoin white paper:

An electronic cash system that is implemented entirely through peer-to-peer technology, which enables online payments to be initiated directly by one party and paid to another party without going through any financial institution in the middle.

Next, I will introduce to you the importance of inscription following the DMT principles, as well as the problems encountered in the current inscription track.

The first BRC20 inscription was born on March 8, 2023. BRC20 creator Domo used the Ordinals protocol to set Inscription to JSON: by declaring a specific specification to simulate the logic of the Token, the first BRC20 inscription $ORDI in the crypto world was created.

When inscriptions are only used as code blocks stored on the chain, there is nothing special about them. At this time, inscriptions are just inscriptions. But when standardized inscriptions are calculated and proved by Indexer off-chain, everything is different!

The inscription suddenly became an asset.

Different from other assets such as Tokens and NFTs, inscription assets naturally have the following characteristics:

•   The attribute of gas fee ensures that each inscription asset has a corresponding production cost (Gas), and naturally has asset attributes and is not easy to disappear.

•   Decentralized Fairmint has brought about a paradigm shift in the primary market and spawned a carnival in the inscription track. Star projects such as $ORDI, $ETHS, and $POLS have received widespread attention.

•   There is no project party, the progress of asset Inscribe is visualized and everyone can check it.

In an instant, a primary market that everyone can participate in, like a shot of stimulant, ignited the enthusiasm of the entire crypto industry. It seems that a fairer and more "decentralized" era has arrived.

But is it really like this?

In my excitement, I casually experienced the pleasure of "inscription" outside of BRC20. When I cast a niche inscription on the ETH chain, I found a big problem: after the inscription was completed, it could not be traded or transferred! Damn! So, I went to check the relevant information and found that the ways of defining inscription transactions in public chains such as BTC, ETH, Polygon, and Avalance are completely different, and a trading gap is forming...

Currently, the inscription market other than Bitcoin Ordinals and BRC20 is developing wildly in a "non-standardized" way, which runs counter to the original intention of Bitcoin and the spirit of Satoshi Nakamoto.

Therefore, we urgently call on the inscription market to follow the DMT principles and ensure the liberalization of the establishment of inscriptions. Transfers and transactions should not rely on any centralized third party, and should not use smart contracts for internal settlement to create liquidity barriers.

For example, among the more than two million inscriptions on the ETH chain, nearly 99% of the inscriptions have simply completed the Inscribe process and do not support transfer transactions. The inscriptions are not even qualified to lie quietly in the wallet and are worthless.

As mentioned above, the inscription you get by spending Gas is just a string of code, completely lacking a transaction environment. Currently, only header inscriptions such as ETHS use the project's smart contract for internal settlement to achieve the so-called "transaction transfer" function.

This can't help but make people wonder, is this still what we were originally pursuing: a new paradigm of "decentralized" asset issuance?

In this regard, we are taking action: UXUY is actively embracing the spirit of Satoshi Nakamoto, continuing to provide infrastructure services for the inscription track, building a standardized indexer for inscriptions in accordance with the principles of DMT, and exploring a new combination of inscription assets + DeFi...

As stated in the "UXUY Crypto Equality Declaration": Trading is the only weapon to break down barriers. I always believe that inscriptions are becoming the third largest head asset after Tokens and NFTs. Whether it is called SFT or Inscription, it can become the most dazzling star in the crypto field.#fomc