You've been hearing that everyone is making millions trading BRC-20 Ordinals but don't know the first thing about them. I did 12 hours of research so you don't have to, here's everything you need to know 🟧 🧵 (1/19)

1/ First, what are BRC-20 Ordinals? Ordinals are a numbering scheme for Bitcoin satoshis that allows tracking and transferring individual satoshis. The Ordinal protocol allows you to inscribe data on an individual Satoshi and create a Bitcoin NFT. (2/19)

2/ Why should I care? In March, the BRC-20 version of the original Frank DeGod sold for $87,000. Bitcoin Frogs has seen over 350 BTC in volume ($10,000,000) There are now over 10,000,000 NFTs inscribed on Bitcoin (3/19)

3/ What's the Bull Case? I’m an eternal optimist so… Let’s first let’s talk why BRC-20 Ordinals could be revolutionary. (4/19)

3a/ Community First and MOST importantly, the community is extremely strong. People like @udiWertheimer, @TO, @frankdegods have pushed Bitcoin NFTs forward through spaces. Many in Web3 have rallied behind them like @elenism, @waleswoosh, and @bl0ckchainsavvy (5/19)

3b/ Rarity structure of satoshis: Ordinals have a much different rarity structure than Ethereum NFTs. Bitcoin has periodic events, some frequent, some more uncommon, and these naturally lend themselves to a system of rarity. Pictured below are the different events:👇 (6/19)

Not only can your Ordinal NFT be 1 of 500 in a collection it can also be inscribed on a rare satoshi. Based on the events above, there are naturally some satoshis that will be more “rare” to be inscribed. Like the first satoshi after a halvening. (7/19)

And because Bitcoin’s supply is capped, there are a limited number of rare satoshis to be inscribed. You see where I'm going with this? (8/19)

Imagine owning a Beeple 1/1 that was inscribed on the first Satoshi after the next halving… Seems RARE (9/19)

3b/ The market is 2.5x larger: Also, the Bitcoin market cap is 2.5x larger than Ethereum which potentially brings in more volume. There are some extremely large investors that irrationally hate ETH, expect them to funnel into BRC-20 Ordinals. (10/19)

3c/ Ordinals are ALWAYS on chain and immutable There is no way for an inscription to refer to off-chain content AND there is no way to for the creator or owner of an inscription to modify it after it has been created. (11/19)

This makes it harder to do stuff with Ordinals BUT it also makes them more SECURE. (12/19)