Inscription tokens represent digital assets created by embedding unique data into blockchain transactions. These data points, called ordinal or inscriptions, cover a broad spectrum, including text, images, audio, and video files. Notable examples include the ORDI token on the Bitcoin blockchain and the BRC20 token on Binance Smart Chain (BSC).
Evolution of the inscription token:
The origins of inscription tokens date back to Bitcoin Ordinal, a groundbreaking way to leverage Bitcoin’s blockchain for NFT creation. Importantly, the ORDI token has become incredibly popular, with trading volume surpassing $1 million in July 2021 and a new high in August 2022.
Conversely, the BRC20 token sets the standard for inscription tokens on Binance Smart Chain (BSC). As BSC-based projects grow in prominence and are integrated into DeFi platforms such as PancakeSwap, they have experienced significant growth, with their total value locked (TVL) exceeding $10 million in August 2021.
Impact of inscription tokens:
The proliferation of inscription tokens has had a major impact on the cryptocurrency industry. First, it has created a new avenue for creators to monetize their digital assets through NFTs and other unique digital items. Second, innovation and experimentation has increased within the cryptocurrency space as developers explore new applications of blockchain technology beyond traditional cryptocurrencies. Third, we emphasized the potential of blockchain to be used in non-financial areas such as art, music, and games.
Accelerating Growth: The Role of 20EX
As inscription tokens continue to grow in popularity, platforms like 20EX play a pivotal role in fostering growth. As a multi-dimensional protection framework, 20EX not only provides a safe haven for digital assets, but also provides a variety of financial services such as asset exchange, lending, liquidity mining, and staking. 20EX expands the reach of Inscription Tokens by unifying the liquidity of various trading platforms across multiple blockchain networks, minimizing slippage rates and optimizing profit potential to ensure a smooth trading experience.
Future prospects of Inscription Token:
The rise of inscription tokens appears to be a continuing trend until 2024 and beyond. Platforms like 20EX will continue to explore innovative approaches to incentivize users and foster deeper engagement with Inscription projects. This sets the stage for a more dynamic and engaging cryptocurrency ecosystem that goes beyond community-driven initiatives and includes fair launch projects driven by retail investors. “The next bull market will be driven by the rise of community-driven token tokens and fair launch projects,” said Gerald Check, founder of 20EX.