Ordinals represent a promising leap forward in how blockchain can improve our lives by providing innovative solutions to the age-old challenges of data storage, integrity, and security.
They empower individuals to preserve their unique digital creations, assist businesses in creating distinctive products and maintaining key records, and enable governments to streamline operations with unparalleled efficiency. In his session at the recent sCrypt Hackathon 2024, 1Sat Ordinals developer, David Case explains how to inscribe single satoshi units with NFT data.
What are ordinals?
Ordinals stored on the BSV blockchain are designed to exist as long as anyone around the globe is willing to keep a copy of the blockchain. This creates a reliable backup and maintains the files’ integrity.
When an Ordinal is inscribed, the specifics of the date, time, and addresses involved are permanently recorded. This indelible timestamp is significant, especially in this age of AI and deep fakes, where verifying the authenticity of documents, images, and videos is paramount.
Ordinals on the BSV blockchain provide an accessible way to use as a timestamp server or a public database. It’s akin to having a global, ultra-secure hard drive at your disposal that you can access anytime, anywhere, through any device connected to the BSV blockchain. They offer problem-solving benefits for everyone—from individuals to businesses to governments. Individuals can use them to create, collect, and share unique digital art, music, and memories that will exist ‘forever.’
For businesses, ordinals present a chance to create and sell one-of-a-kind digital products or services, record vital information, and protect intellectual property rights. Governments can utilise ordinals to inscribe public data, coupled with secure and efficient access. In doing so, they can streamline operational processes and reduce costs.
Ordinals and 1Sat Ordinals: Similar but different
Case explained that Ordinals were developed for the BTC blockchain. However, the limited capacity and high fees associated with that network make the process of converting individual satoshi units into NFTs more cumbersome (and costly) than necessary. 1Sat Ordinals, on the other hand, is the implementation tailored for the BSV blockchain, capitalising on the network’s advantages in terms of speed, capacity, and cost-efficiency. On the BSV blockchain, Ordinals are significantly easier to index and manage.
Case noted that Ordinals and 1Sat Ordinals share the same conceptual framework, and to the end user, any distinction between them would likely go unnoticed. However, Case explained the backend mechanics that differentiate the two in this presentation.
Describing the process of designating a Satoshi as an Ordinal as “inscribing,” Case highlights that these inscriptions essentially become files stored on the blockchain. However, tracing these inscriptions across numerous transactions involves more complexity than mere mapping of identifiers to inputs and outputs. With 1Sat Ordinals, each token is assigned an “origin” upon creation, a reference point invoked whenever its unique satoshi changes ownership.
The additional data that transforms a satoshi into a distinct token is encapsulated within an “inscription envelope,” which the 1Sat Ordinals protocol executes upon detection. This envelope may include sCrypt contract data, streamlining ownership and transfer procedures. Case illustrates various code examples for managing different token processes, likening the operation to the World Wide Web’s search for unique files.
