November 8, 2024

Crypto Investor Reveals the Next Big Thing in BRC-20 Tokens

SAVM #SAVM

Bitcoin Ordinals and BRC-20 tokens have emerged as new frontiers, captivating investors with the promise of substantial returns. 

The intricacies of these digital assets unravel their complexities and spotlight promising BRC-20 tokens that could enjoy exponential growth.

Understanding Bitcoin Ordinals and BRC-20 Tokens

Bitcoin operates on the smallest unit, known as a Satoshi, akin to a cent in a dollar. Ordinals, a novel concept, have revolutionized the Bitcoin ecosystem. Each Satoshi, through Ordinals, is assigned a unique number based on its mining sequence. Consequently, this allows for the inscription of data – be it text, images, or JSON code – onto a Satoshi.

BRC-20 tokens are essentially Satoshis inscribed with JSON code, defining characteristics like name, supply, and transfer rules. As a result, this transformation converts a regular Satoshi into a BRC-20 token with its own identity and value.

Read more: What Are BRC-20 Tokens? Everything You Need To Know

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The allure of BRC-20 coins lies in Bitcoin’s robust security, bolstered by its recent mainstream acceptance, including ETF approvals. The BRC-20 ecosystem extends beyond its native tokens, integrating with Bitcoin layer 2 solutions and other chains supporting smart contracts.

Moreover, this multi-layered structure enriches the BRC-20 experience, offering diverse functionalities.

Spotlight on BRC-20 Ecosystem Projects

According to Lady of Crypto, BRC-20 coins, with their unique attributes and expanding ecosystem, are poised to play a pivotal role in the cryptocurrency market’s future. Hence, she shared a list of BRC-20 tokens that are worth watching: 

  • SatoshiVM (SAVM): SAVM, a Bitcoin layer 2 leveraging Zero-Knowledge (ZK) rollups, addresses Bitcoin’s limitation of lacking native smart contract functionality. It enables more intricate decentralized finance (DeFi) applications by enhancing ordinals with additional utility.
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  • Tap Protocol (TAP): A part of the existing Trac ecosystem, TAP represents a novel approach to layer 2 solutions. It facilitates advanced financial operations directly on the Bitcoin blockchain, introducing features like token staking and liquidity pools. TAP’s technology, though intricate, marks a significant advancement in blockchain functionality.
  • BeFi Labs (BeFi): Likened to the WOO/GMX of Bitcoin, BeFi has surged in popularity. Its token, BeFi, offers several advantages: revenue sharing, fee-free trading, early access to projects, and eligibility for BRC-20 token airdrops. Hence, BeFi’s comprehensive utility makes it a standout in the DeFi space.
  • Multibit (MUBI): As a liquidity layer, Multibit facilitates the seamless transition of BRC-20 projects to other layer 2 solutions. Though it has already experienced substantial growth, its essential role in infrastructure support makes it a valuable asset in the BRC-20 ecosystem.
  • According to analysts at Kaiko, trade volumes on BRC-20 tokens have been increasing since November 2023, demonstrating their unique position in the crypto market.

    “Trade volume for this type of token has surged tenfold since November, from just $10-15 million to more than $500 million. The increase came after Binance launched spot and perpetual futures trading for ORDI, SATS and RATS,” analysts at Kaiko explained .

    Read more: 13 Best Altcoins To Invest In January 2024

    BRC-20 Trade Volume Surges.BRC-20 Trade Volume Surges. Source: Kaiko

    The BRC-20 token ecosystem represents a significant evolution in the cryptocurrency industry, offering investors a unique blend of security, innovation, and potential profitability. 

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    Harsh started investing in crypto during the 2021 bull market. He took the opportunity of the market crash in May to learn more about Bitcoin and blockchain technology. Since then, he has helped metaverse projects build an engaging community and educate them on Web3. He has also helped Web3 creators write educational blogs around crypto. Harsh started investing in crypto during the 2021 bull market. He took the opportunity of the market crash in May to learn more about Bitcoin and blockchain technology. Since then, he has helped metaverse projects build an engaging community and educate them on Web3. He has also helped Web3 creators write educational blogs around crypto. READ FULL BIO Sponsored Sponsored

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