Bitcoin NFTs just took a giant leap forward thanks to the BRC-721E token standard.
TL;DR:
- Enables Ethereum-based ERC-721 projects to migrate to the Bitcoin network
- Created by Ordinals.market, Bitcoin Miladys, and Xverse Bitcoin Wallet
- Represents the continued push for Bitcoin to gain NFT market share
Bitcoin just gained a valuable new weapon to fight for NFT supremacy– the BRC-721E token standard
Image Credit: TokenInsight
What is the BRC-721E Token Standard?
It is a new token standard that allows users to bridge ERC-721 tokens to Bitcoin. First, the protocol sends the ERC-721 to a burn address. Next, it inscribes the NFT onto the Bitcoin network. After the bridging is complete, the NFT becomes visible on ordinals.market website along with all corresponding metadata.
This procedure greatly simplifies migrating NFTs to Bitcoin. Before, aspiring Bitcoin NFT collectors faced a somewhat steep learning curve when trying to bridge NFTs. Now, however, users have a seamless, easy way to move their digital assets over to Bitcoin.
Are Ordinals Still Popular?
Much of the chatter on NFT Twitter lately has revolved around Bitcoin NFTs. After being first introduced in January 2023, over 10m Ordinals have been inscribed. The volume has been so strong, in fact, that the Bitcoin network struggled to keep up with transactions.
Taproot Wizards is an early favorite of Bitcoin NFT collectors
Image Credit:
Network congestion slowed the memepool of pending transactions to a crawl in mid-May. At one point, over 500,000 transactions sat idle waiting for confirmation. The slowdown was so bad that some Bitcoin users considered Ordinals a DDOS-style attack on the network.
Volume has dipped recently, however. Weekly inscriptions are down 83% over the last couple weeks compared tot the first half of May. With improvements like BRC-721E coming online though, it stands to reason that more collectors will begin experimenting with Bitcoin NFTs as the onboarding process becomes easier.
