Note: This article is for information sharing only, not an endorsement of the mentioned projects, nor is it any investment advice.
As Binance launches ORDI and OKX Web3 Wallet provides an excellent Ordinals chain experience, more and more users are flocking to BRC-20 and into the Bitcoin ecosystem, with Bitcoin network on-chain volume and fee capture climbing steadily. Bitcoin NFT/Inscription 0n-chain volume historically exceeded $30 million for the first time on November 17th, and pushed this figure to $35 million on the 18th, setting new highs for several consecutive days. During this continuous rise, the inscription fever gradually spread from BRC-20 to BTC NFT, and radiated to multi-chains and L2 networks. On November 17th, Bitcoin Frogs’ volume reached $3.444 million, setting a new historical high; its floor price also rose from 0.06 BTC a week ago to 0.15 BTC, an increase of 150%, making it the undisputed leader in the current BTC NFT market.
The Story of Bitcoin Frogs
Bitcoin Frogs has a total supply of 10k, with a current holder count of 4.3k. The historical cumulative volume has surpassed 626 BTC, with a market value of approximately 1,500 BTC (about 55 million USD).
As one of the earliest Bitcoin Ordinals NFT projects, Bitcoin Frogs originated from a chance encounter between Deezy Labs’ Vibegawd and the anonymous artist Frogtoshi, with Frogtoshi creating 10k art pieces for Frogs. Deezy Labs, being one of the few platforms on the Bitcoin network that supported lightning payments at the time, provided the technical support necessary for the birth of Frogs. Deezy Labs had successfully launched 3k NFTs of Astral Babes and could earn a margin from the inscription fees, generating revenue for the platform.
Therefore, based on the experience with Astral Babes and the considerations of artist Frogtoshi, it was decided to mint Frogs for free through Deezy Labs’ launchpad. Minters only needed to pay the transaction fee for inscribing the 5kb Frogs PFP, and Deezy Labs could earn a 0.5 BTC margin from the inscription, with no requirement to allocate any Frogs. However, almost no one had launched a 10k NFT minting like this on Bitcoin before. (Later, Deezy Labs founder Danny stated that the reason for not requesting Frogs allocation was skepticism about the new project.)
However, an unexpected issue occurred. During the minting of Frogs, due to a problem with image layering, all minted Frogs were “naked,” with their clothes appearing behind them, humorously referred to as “Only Frogs” by the community members (now the misprinted Frogs are also known as “naked frogs”). By that time, about 2,000 naked frogs had been minted, with another 3,000 in the mempool. Eventually, the team decided to use Replace-by-Fee (RBF) to cancel the pending Frogs in the mempool and paused the minting. RBF is a feature of the Bitcoin network that allows the sender to replace an existing but unconfirmed transaction before it is confirmed by the blockchain.
To cancel those pending Frogs, Deezy Labs paid nearly 1 BTC in fees to replace the transactions. After solving the layering issue and reminting, the correct Frogs were sent to the users who had previously minted, incurring an additional 1 BTC in inscription fees. Finally, the 10k Frogs were completed, but 3.4k naked frogs were also minted. After deducting the 0.5 BTC margin earned from Frogs, Deezy Labs still incurred a loss of about 1.5 BTC from this event.
After successfully completing the minting, Frogtoshi, to show gratitude to Deezy Labs, gifted the team 1 Frog. The Bitcoin Frogs community was unaffected by the inscription incident and continued to develop. Later, Deezy Labs founder Danny, amazed by the impressive growth of the Frogs community, also purchased some Frogs on the secondary market.
Other Noteworthy BTC NFTs
Casey launched the Ordinals protocol in December last year, assigning a serial number to each satoshi, allowing players to add various types of data such as text, images, and videos to satoshis through Ordinals. Initially, Ordinals players added images to satoshis, effectively creating NFTs. Casey’s original vision was more aligned with using Bitcoin to store things that would never change, rather than engaging in “tokenization” hype, which in some ways is more consistent with the NFT storage vision.
However, BRC-20 is not like the fungible tokens (FTs) such as ERC-20 that we understand in smart contracts. Essentially, BRC-20 is used in transactions as a JSON file, which has a unique ordinal number. Each JSON file corresponds to a specific BRC-20, making it more akin to the non-fungible tokens (NFTs) that we understand. This is also why data websites like CryptoSlam still categorize BRC-20 inscriptions as NFTs.
Whether it’s BRC-20, BTC NFTs, or others, they are fundamentally important components of the Bitcoin ecosystem. The discussions and capital influx driven by a narrative can shift the attention of users, especially those who missed out, towards other narratives within the ecosystem, leading them to become early adopters. This can result in capital spillover and wider coverage across more branches. Currently, Ordinals or BRC-20 are still niche markets worth several billion dollars in the entire crypto world, and BTC NFTs are even earlier in their development. This could indicate the potential for more opportunities worthy of attention.
On the day when Bitcoin Frogs’ volume peaked, Goosinals also reached a record volume of $500k, with a cumulative volume close to 50 BTC, and its floor price increased by 187% to 0.034 BTC over the past week.
Why “Goose”? Here, it’s essential to mention Dmitri Cherniak’s famous generative art piece Ringers, currently with a floor price exceeding 40 ETH. Among them, Ringers 879 is most representative, known for featuring a “goose” element amidst its stack of irregular shapes, earning it the nickname “Goose”. Ringers 879 was once purchased by the now-bankrupt 3AC for 1,800 ETH but was later auctioned off for $6 million during the bankruptcy liquidation.
From the “goose” in the artwork itself, to the community’s nickname “goose”, to the “goose” that made headlines in major media outlets after being auctioned, the “goose” has indeed transcended the Ringers artwork itself, acquiring more narratives and meanings. Dmitri Cherniak further cultivated a unique cultural gene for the “goose” by introducing a cc0 art generator for it. This allowed any artist and user to freely create and generate their own goose. Subsequently, a series of derivative works appeared, as well as the now well-known Goosinals BTC NFT and its community within the Ordinals ecosystem.
MNCHRMS was born in August this year, created by the voxel-based creative brand Beyond Rockets. This team had previously launched voxel art inspired by cities on Cardano in 2021, including music albums and avatar collections. The images in MNCHRMS are only in black and white. This monochromatic scheme is akin to the binary nature of computer code, which is the foundation of cryptocurrencies like Bitcoin. Additionally, the project uses this classic black and white color scheme to emphasize simple complexity, giving the black and white MNCHRMS a sense of timelessness, boldness, and infinite Bitcoin imagination, aligning with the BTC philosophy that simplicity is eternal.
MNCHRMS has also gained favor with overflow funds. Recently, its trading volume has been setting new highs, with a cumulative trading volume exceeding 8 BTC. The floor price at one point increased over 15 times since the 17th, reaching nearly 0.006 BTC, but then nearly halved due to early holders selling for profit.
Misprint Frogs ᵛ¹ (Naked Frogs)
Misprint Frogs ᵛ¹, or Naked Frogs, are essentially early versions of Bitcoin Frogs NFT that were abandoned due to a layering error. However, due to their earlier ordinal numbers and smaller total supply compared to Bitcoin Frogs, along with a higher floor price for the latter, they have attracted the attention of investors who missed out on Bitcoin Frogs, presenting a certain potential for speculation. The floor price of Naked Frogs has recently seen a significant rise, increasing by over 260% in the last week. A notable comparison can be drawn with CryptoPunk and V1 Punks. V1 Punks, which emerged due to a glitch causing a fork, developed a unique fork culture. However, despite their lower total supply, their floor price is still far behind that of CryptoPunk.
OrdiRats is a collection of 2,000 randomly generated 29×29 pixel rat NFTs on the Bitcoin chain, aligning with the recent hype in the BRC-20 animal market segment. Its floor price has increased over tenfold in the past week.
Van Gogh’s Painting
Van Gogh’s paintings have been inscribed on Bitcoin for preservation. Over the past two weeks, this narrative has been very successful in terms of hype, with a trading volume exceeding 105 BTC in the last seven days, and the current floor price reaching 0.11 BTC.