• This article discusses the concept of Ordinals and Inscriptions, two made-up conventions for tracking sats across Bitcoin transactions.
• The Bull Case for these concepts is that they provide a fun, rich art experience on the Bitcoin network which is more secure than other crypto NFTs.
• However, there are concerns about reduced accessibility to transact on Bitcoin due to transaction backlogs and increased storage and bandwidth requirements.
What Are Ordinals And Inscriptions?
Ordinals are a made up way of tracking sats (a fraction of a bitcoin) across transactions. It’s a convention of numbering sats in the order they’re mined into existence and tracking them in a first in, first out (FIFO) method. An inscription is another made-up convention where sats can be inscribed with arbitrary content, a kind of Bitcoin-native digital artifact or NFT.
The Bull Case For Ordinals And Inscriptions
The pro Ordinals and inscriptions case could broadly be understood as: “Come for the fun, rich art, stay for the decentralized digital money.” Bitcoin inscriptions are immutable, always on chain, simpler and more secure than shitcoin NFTs.
Concerns Raised With Inscriptions
The main concerns raised around inscriptions include reduced accessibility to transact on Bitcoin because of transaction backlogs and increased storage and bandwidth requirements; as well as the possibility of illegal material being recorded into Bitcoin’s blockchain that might discourage some users from using it.
Conclusion
Overall, while Ordinals and Inscriptions offer an interesting experience to those who use it – there are certain risks associated with its usage that need to be taken into consideration before doing so.