BRC-20

In the wake of the “Non-fungible” Ordinals, a natural question arose: "What about fungible tokens on Bitcoin?"

In March, a pseudonymous user named Domo from Crypto X proposed a theoretical method called BRC-20 that could create a fungible token standard on top of the Ordinals Protocol.

The idea behind BRC-20 was to inscribe JSON data onto individual sats via Ordinals, allowing for the deployment, minting, and transfer of fungible tokens.

Since JSON is a text-based data format, the BRC-20 method essentially involved inscribing text onto sats to create fungible tokens.

In the months following Domo’s proposal, BRC-20 tokens, or text-based Inscriptions, became the dominant type of Inscription and the default fungible token standard on Bitcoin.