{"id":171115,"date":"2023-02-16T13:26:26","date_gmt":"2023-02-16T13:26:26","guid":{"rendered":"https:\/\/precoinnews.com\/?p=171115"},"modified":"2023-02-16T13:26:26","modified_gmt":"2023-02-16T13:26:26","slug":"trust-machines-ceo-ordinals-is-a-trojan-horse-that-can-take-bitcoin-to-a-billion-people","status":"publish","type":"post","link":"https:\/\/precoinnews.com\/bitcoin\/trust-machines-ceo-ordinals-is-a-trojan-horse-that-can-take-bitcoin-to-a-billion-people\/","title":{"rendered":"Trust Machines CEO: \u2018Ordinals Is a Trojan Horse That Can Take Bitcoin to a Billion People\u2019"},"content":{"rendered":"

On Thursday (16 February 2023), Dr. Muneeb Ali, who is the co-creator of Stacks, \u201can open-source platform to enable\u00a0smart contracts, DeFi, NFTs, and apps for Bitcoin,\u201d as well as Co-Founder and CEO of Trust Machines, commented on\u00a0the currently hot topic of Bitcoin NFTs.<\/p>\n

Earlier today, Dr. Ali had this to say about a new protocol known as the\u00a0Ordinals\u00a0protocol, which supports on-chain Bitcoin-native NFTs.<\/p>\n

Casey Rodarmor, the creator of the Ordinals project, who is a former Bitcoin Core contributor, said in a\u00a0blog post\u00a0published on 20 January 2023 that the Ordinals protocol supports putting \u201cinscriptions\u201d on the Bitcoin blockchain, and then went on to explain how inscriptions are different from NFTs:<\/p>\n

\u201cInscriptions are digital artifacts native to the Bitcoin blockchain. They are created by inscribing sats with content using\u00a0ord, and can be viewed with the\u00a0ordinals explorer. They do not require a separate token, a side chain, or changing Bitcoin. Inscriptions are created by including content, like an image, text, SVG, or HTML, in an inscription transaction. The content is included in the transaction witness, which normally contains signatures and other data proving that a transaction is authorized. Along with the content, the inscription transaction contains a content type, also known as a MIME type, identifying the type of content to be inscribed\u2026<\/em><\/p>\n

\u201cInscriptions are\u00a0digital artifacts, and digital artifacts are NFTs, but not all NFTs are digital artifacts. Digital artifacts are NFTs held to a higher standard, closer to their ideal. For an NFT to be a digital artifact, it must be decentralized, immutable, on-chain, and unrestricted. The vast majority of NFTs are not digital artifacts. Their content is stored off-chain and can be lost, they are on centralized chains, and they have back-door admin keys. What\u2019s worse, because they are smart contracts, they must be audited on a case-by-case basis to determine their properties. Inscriptions are unplagued by such flaws. Inscriptions are immutable and on-chain, on the oldest, most decentralized, most secure blockchain in the world. They are not smart contracts, and do not need to be examined individually to determine their properties. They are true digital artifacts.<\/em>\u201c<\/p>\n

On 7 February 2023, Binance Research said that \u201cin recent weeks, the Ordinals protocol has gained widespread popularity, with users experimenting by embedding JPEGs, videos, and even PDFs onto the blockchain. It also mentioned that while some members of the Bitcoin community have raised concerns about the Ordinals protocol potentially driving up transaction fees by consuming block space on the Bitcoin network, there is an ongoing debate about whether this is a positive or negative development for the blockchain.<\/p>\n

On the same day, independent developer and consultant Udi Wertheimer listed some of the benefits of Bitcoin NFTs:<\/p>\n

On 14 February 2023, James Killick wrote an article for \u201cStart With NFTs\u201d that explained the differences between Stacks NFTs and Ordinals:<\/p>\n