I was just looking at the new Bitcoin standard for token minting and transfer, BRC-20. I have to admit that I don’t like it technically at all. We’ll get to the details in the article. It made me realize how important it is when innovation is wanted and well thought out. The IOG team could have learned from the Ethereum project and designed the functionality around tokens in a different way. Many members of the Bitcoin Core team did not want to enable NFT and token minting at the first layer. Yet, one Core developer from the team managed to deliver this functionality. I’m sure you’ve heard of the Ordinals project. Unfortunately, the resulting solution is more of a hack (some talk about source code abuse) than a well-thought-out design. BRC-20 looks to me like another hack built on a hack. Cardano, and Ethereum as well, have a few years ahead of Bitcoin when it comes to minting and token transfer. In my opinion, Bitcoin should not catch up with SC platforms and should remain simple. From a governance perspective, the Ordinals and BRC-20 project is very interesting, as tokens on Bitcoin are a controversial topic that divides the community. In this context, it is important to realize the importance of CIP-1694.
The Ordinals project can be seen as a betrayal by the part of the community that wanted Bitcoin to be only a store of value and nothing else. Freedom is not the same as the inability to agree on the best possible solution. On-chain governance is essential to the mission of blockchain projects. The team must serve the community. In the context of the Ordinals, I see CIP-1694 in a new perspective.