What is BRC-20?
- BRC-20 is an experimental bitcoin blockchain token standard based on the ERC-20 model. It is created using sequence numbers and inscriptions and stored in the underlying bitcoin chain. The standard allows developers to create and transfer interchangeable tokens via the Ordinals protocol.
- BRC-20 is modeled after the ERC-20, but it is different. This network cannot interact with smart contracts, unlike the EVM standard, and requires the use of a bitcoin wallet to create/trade them.
- The BRC-20 standard was created on March 8, 2023 by a Twitter user named domodata. The goal was to make it possible to issue and transfer interchangeable tokens in the bitcoin blockchain. Amid the meme token trend, the market capitalization of BRC-20 tokens has surged in the last couple of days.
- Interest in BRC-20 tokens overwhelmed the initial number of bitcoin transactions on the blockchain, with the number of BRC-20 transactions exceeding regular BTC transactions and accounting for over ~60% across the network.
