BRC-20 is an experimental token standard on the Bitcoin blockchain, based on the ERC-20 model. It is created using serial numbers and inscriptions and stored in the underlying Bitcoin chain. The standard allows developers to create and transfer fungible tokens through the Ordinals protocol.
BRC-20 is modeled after ERC-20, but it is different. This network cannot interact with smart contracts, unlike the EVM standard, and you must use a Bitcoin wallet to create/trade them.
The BRC-20 standard was created on March 8, 2023 by Twitter user domodata. The goal was to make it possible to issue and transfer fungible tokens on the Bitcoin blockchain. Amid the meme token trend, the market capitalization of BRC-20 tokens has risen sharply over the past couple of days.
Interest in BRC-20 tokens has overwhelmed the initial number of Bitcoin transactions on the blockchain, with the number of BRC-20 transactions exceeding regular BTC transactions and accounting for more than ~60% of the entire network.