BTC Markets
BRC-20, ERC-20, and Tokens on BTC
BitOoda BTC Market Research, 7/25/23
Vivek Raman
The week was relatively uneventful on the Bitcoin (and Ethereum and alt-coin) front, with crypto prices continuing to range sideways after the fervor of the past 2 months around a potential BTC ETF and the ramifications of the XRP ruling. BTC slipped from the key $30k level it has held for a month as we seem to approach the summer crypto doldrums. Notably, and in a sobering data point to crypto, the S&P 500 and broader stock market continued to melt up, closing the gap with crypto performance.
Nevertheless, the true macro catalysts for Bitcoin and the broader crypto ecosystems are further on the horizon. A potential approval decision on the latest wave of ETF filings could plant the seeds for a wider adoption base. And regardless of an ETF launch, the halving in Q2 2024 steadily approaches.
In the meantime, we will continue to focus on the topic of Bitcoin network fees. Last week, we reviewed the concept of Ordinals, which have planted the seeds for an NFT ecosystem on Bitcoin. NFTs can ultimately transcend digital speculation and represent ownership of real world assets – a promising use case for all blockchains that can support NFT tech.
This week, we will look at one specific use case of Ordinals: the creation of fungible BRC-20 tokens on Bitcoin, analogous to the fungible ERC-20 token standard on ETH.
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The week was relatively uneventful on the Bitcoin (and Ethereum and alt-coin) front, with crypto prices continuing to range sideways after the fervor of the past 2 months around a potential BTC ETF and the ramifications of the XRP ruling. BTC slipped from the key $30k level it has held for a month as we seem to approach the summer crypto doldrums. Notably, and in a sobering data point to crypto, the S&P 500 and broader stock market continued to melt up, closing the gap with crypto performance.
Nevertheless, the true macro catalysts for Bitcoin and the broader crypto ecosystems are further on the horizon. A potential approval decision on the latest wave of ETF filings could plant the seeds for a wider adoption base. And regardless of an ETF launch, the halving in Q2 2024 steadily approaches.
In the meantime, we will continue to focus on the topic of Bitcoin network fees. Last week, we reviewed the concept of Ordinals, which have planted the seeds for an NFT ecosystem on Bitcoin. NFTs can ultimately transcend digital speculation and represent ownership of real world assets – a promising use case for all blockchains that can support NFT tech.
This week, we will look at one specific use case of Ordinals: the creation of fungible BRC-20 tokens on Bitcoin, analogous to the fungible ERC-20 token standard on ETH.
Purpose
This research is only for the clients of BitOoda. This research is not intended to constitute an offer, solicitation, or invitation for any securities and may not be distributed into jurisdictions where it is unlawful to do so. For additional disclosures and information, please contact a BitOoda representative at info@bitooda.io.
Analyst Certification
Vivek Raman, denoted by an “AC” on the cover of this report hereby certifies that all of the views expressed in this report accurately reflect his personal views, which have not been influenced by considerations of the firm’s business or client relationships.
Conflicts of Interest
This research contains the views, opinions, and recommendations of BitOoda. This report is intended for research and educational purposes only. We are not compensated in any way based upon any specific view or recommendation.
General Disclosures
Any information (“Information”) provided by BitOoda Holdings, Inc., BitOoda Digital, LLC, BitOoda Technologies, LLC or Ooda Commodities, LLC and its affiliated or related companies (collectively, “BitOoda”), either in this publication or document, in any other communication, or on or through http://www.bitooda.io/, including any information regarding proposed transactions or trading strategies, is for informational purposes only and is provided without charge. BitOoda is not and does not act as a fiduciary or adviser, or in any similar capacity, in providing the Information, and the Information may not be relied upon as investment, financial, legal, tax, regulatory, or any other type of advice. The Information is being distributed as part of BitOoda’s sales and marketing efforts as an introducing broker and is incidental to its business as such. BitOoda seeks to earn execution fees when its clients execute transactions using its brokerage services. BitOoda makes no representations or warranties (express or implied) regarding, nor shall it have any responsibility or liability for the accuracy, adequacy, timeliness or completeness of, the Information, and no representation is made or is to be implied that the Information will remain unchanged. BitOoda undertakes no duty to amend, correct, update, or otherwise supplement the Information.
The Information has not been prepared or tailored to address, and may not be suitable or appropriate for the particular financial needs, circumstances or requirements of any person, and it should not be the basis for making any investment or transaction decision. The Information is not a recommendation to engage in any transaction. The digital asset industry is subject to a range of inherent risks, including but not limited to: price volatility, limited liquidity, limited and incomplete information regarding certain instruments, products, or digital assets, and a still emerging and evolving regulatory environment. The past performance of any instruments, products or digital assets addressed in the Information is not a guide to future performance, nor is it a reliable indicator of future results or performance.
Ooda Commodities, LLC is a member of NFA and is subject to NFA’s regulatory oversight and examinations. However, you should be aware that NFA does not have regulatory oversight authority over underlying or spot virtual currency products or transactions or virtual currency exchanges, custodians or markets.
BitOoda Technologies, LLC is a member of FINRA.
“BitOoda”, “BitOoda Difficulty”, “BitOoda Hash”, “BitOoda Compute”, and the BitOoda logo are trademarks of BitOoda Holdings, Inc.
Copyright 2023 BitOoda Holdings, Inc. All rights reserved. No part of this material may be reprinted, redistributed, or sold without prior written consent of BitOoda.
The week was relatively uneventful on the Bitcoin (and Ethereum and alt-coin) front, with crypto prices continuing to range sideways after the fervor of the past 2 months around a potential BTC ETF and the ramifications of the XRP ruling. BTC slipped from the key $30k level it has held for a month as we seem to approach the summer crypto doldrums. Notably, and in a sobering data point to crypto, the S&P 500 and broader stock market continued to melt up, closing the gap with crypto performance.
Nevertheless, the true macro catalysts for Bitcoin and the broader crypto ecosystems are further on the horizon. A potential approval decision on the latest wave of ETF filings could plant the seeds for a wider adoption base. And regardless of an ETF launch, the halving in Q2 2024 steadily approaches.
In the meantime, we will continue to focus on the topic of Bitcoin network fees. Last week, we reviewed the concept of Ordinals, which have planted the seeds for an NFT ecosystem on Bitcoin. NFTs can ultimately transcend digital speculation and represent ownership of real world assets – a promising use case for all blockchains that can support NFT tech.
This week, we will look at one specific use case of Ordinals: the creation of fungible BRC-20 tokens on Bitcoin, analogous to the fungible ERC-20 token standard on ETH.
Purpose
This research is only for the clients of BitOoda. This research is not intended to constitute an offer, solicitation, or invitation for any securities and may not be distributed into jurisdictions where it is unlawful to do so. For additional disclosures and information, please contact a BitOoda representative at info@bitooda.io.
Analyst Certification
Vivek Raman, denoted by an “AC” on the cover of this report hereby certifies that all of the views expressed in this report accurately reflect his personal views, which have not been influenced by considerations of the firm’s business or client relationships.
Conflicts of Interest
This research contains the views, opinions, and recommendations of BitOoda. This report is intended for research and educational purposes only. We are not compensated in any way based upon any specific view or recommendation.
General Disclosures
Any information (“Information”) provided by BitOoda Holdings, Inc., BitOoda Digital, LLC, BitOoda Technologies, LLC or Ooda Commodities, LLC and its affiliated or related companies (collectively, “BitOoda”), either in this publication or document, in any other communication, or on or through http://www.bitooda.io/, including any information regarding proposed transactions or trading strategies, is for informational purposes only and is provided without charge. BitOoda is not and does not act as a fiduciary or adviser, or in any similar capacity, in providing the Information, and the Information may not be relied upon as investment, financial, legal, tax, regulatory, or any other type of advice. The Information is being distributed as part of BitOoda’s sales and marketing efforts as an introducing broker and is incidental to its business as such. BitOoda seeks to earn execution fees when its clients execute transactions using its brokerage services. BitOoda makes no representations or warranties (express or implied) regarding, nor shall it have any responsibility or liability for the accuracy, adequacy, timeliness or completeness of, the Information, and no representation is made or is to be implied that the Information will remain unchanged. BitOoda undertakes no duty to amend, correct, update, or otherwise supplement the Information.
The Information has not been prepared or tailored to address, and may not be suitable or appropriate for the particular financial needs, circumstances or requirements of any person, and it should not be the basis for making any investment or transaction decision. The Information is not a recommendation to engage in any transaction. The digital asset industry is subject to a range of inherent risks, including but not limited to: price volatility, limited liquidity, limited and incomplete information regarding certain instruments, products, or digital assets, and a still emerging and evolving regulatory environment. The past performance of any instruments, products or digital assets addressed in the Information is not a guide to future performance, nor is it a reliable indicator of future results or performance.
Ooda Commodities, LLC is a member of NFA and is subject to NFA’s regulatory oversight and examinations. However, you should be aware that NFA does not have regulatory oversight authority over underlying or spot virtual currency products or transactions or virtual currency exchanges, custodians or markets.
BitOoda Technologies, LLC is a member of FINRA.
“BitOoda”, “BitOoda Difficulty”, “BitOoda Hash”, “BitOoda Compute”, and the BitOoda logo are trademarks of BitOoda Holdings, Inc.
Copyright 2023 BitOoda Holdings, Inc. All rights reserved. No part of this material may be reprinted, redistributed, or sold without prior written consent of BitOoda.