abstractThe expectation of spot ETFs once again led BTC to rise from the bottom range of $25000 and hit a new high this year. At the same time, the BTC ecosystem has made significant progress this year, with the emergence of multiple native protocols such as Ordinals, Atomicals, and PIPE

abstract

The expectation of spot ETFs once again led BTC to rise from the bottom range of $25000 and hit a new high this year. At the same time, the BTC ecosystem has made significant progress this year, with the emergence of multiple native protocols such as Ordinals, Atomicals, and PIPE. The innovation of the BTC ecosystem not only brings more possibilities to Bitcoin, but also contains unique investment opportunities. We are optimistic about the long-term growth potential of BTC native protocol tokens such as $ATOM and $PIPE, as well as the beta of old tier 2 protocols such as $RIF and $STX capturing BTC.

Spot ETFs once again ignite market sentiment, and the BTC ecosystem is worth paying attention to

The expectation of spot ETFs once again led BTC to rise from the bottom range of $25000 and hit a new high this year. On October 16th, Cointelgraph reported false news about the SEC's approval of spot ETFs. BTC briefly moved up to around $30000, but the market did not completely retreat as a result. Instead, it consolidated around MA120 and continued to rise. Obviously, we are in a stage of "rising sentiment", and the sentiment of the market being long has been ignited.

It is worth noting that the BTC ecosystem has made significant progress this year, with the emergence of multiple native protocols such as Ordinals, Atomicals, and PIPE. The innovation of the BTC ecosystem not only brings more possibilities to Bitcoin, but also contains unique investment opportunities, and the performance of related tokens even outperforms BTC. The following will introduce some BTC ecological investment opportunities that we are currently focusing on.

Ordinals Protocol

Ordinals Protocol$ORDI

2023 1 21 Casey Rodarmor Ordinals 1024Ordinals Protocolv0.10.0BTC$ORDI117$ORDI$ORDI100%

Ordinals Protocol3800$ORDI4CoinbaseUpbit$ORDIBRC-20Indexer$ORDI

Ordinals Protocol3800

SATS launched multiple exchanges with a market value of nearly $300 million

SATS was deployed on March 9, 2023, with a total of 2100 trillion units, corresponding to the number of Bitcoin smartphones. Due to a single casting limit of only 100 million pieces, it was not until September 24th, six months later, that all $SATS castings were completed. Among all BRC-20 tokens, $SATS holds the highest number of addresses on the chain, approaching 40000. Therefore, $SATS has the most supporters and the widest influence.

SATS Basic Information

In the past month, $SATS has risen nearly tenfold and has successively entered exchanges such as Bitgate, Kucoin, and Gate, with a market value of nearly $300 million. Various exchanges are fully embracing the Bitcoin ecosystem, bringing more funds and attention.

$SATS has risen nearly tenfold in the past month

BRC-100 is expected to launch native applications such as DeFi and GameFi

On October 25th, the Layer1 Foundation, founded by BRC-20 developer @ domodata, released an introduction to BRC-100. BRC-100 is a scalable decentralized computing protocol based on ordinal theory, designed specifically for decentralized applications directly on the first layer of Bitcoin, such as DeFi, SocialFi, GameFi, etc. BRC-100 is an extension of BRC-20 and can be expanded and improved, creating possibilities for Bitcoin based first tier applications.

Ordinals Protocol9BRC-20Ordinals

Atomicals protocol

Atomicals protocol917 (UTXO) NFTAtomical

Ordinals ProtocolAtomicals protocolNFT917

Atomicals daily casting volume

ARC-20 token

Atomicals protocolARC-20 tokenUTXOARC-20 tokenARC-20

ARC-20 token

Atomicals protocolARC-20 token$ATOMARC-20 tokenAtomicals protocol2100$ATOM$1.553000$ORDI4$ATOM

Basic Information of ATOM Tokens

NFT

AtomicalDigitalObject "is a new type of NFT that can be minted and transferred on the Bitcoin network. Unlike traditional NFTs, they do not require centralized services or trusted indexers, but are permanently stored on the Bitcoin blockchain. In addition to immutable content and files, it also supports continuous updates, making it suitable for social media, games, and other applications.

AtomPunks

RealmName

RealmName+

Interestingly, the domain supports the construction of sub domains through suffixes, opening up more applications and gameplay, such as users being able to register multiple DAOs for management in a single domain. Recently, the casting industry has reached a peak, with short lengths of 1, 2, and 3 digit fields being eagerly anticipated. Currently, the total number of castings in the field has exceeded 30000.

Realm casting quantity

Atomicals protocolOrdinals ProtocolAtomicals protocol

PIPE protocol

PIPECasey RodarmorRUNESOrdinalsBRC-20BRC-20TRACBRC-20PIPEPIPE protocolUTXONFT

Inscribe3PIPE protocol

OrdinalsRUNESPIPE protocolRUNES

$PIPE is the first token deployed and minted, with a total of 21 million tokens. The current market price is $1.2, with a market value of approximately $25 million.

PIPE protocol

PIPE protocolSatsXPIPE protocolBiston LabsPIPE protocolSwap

SatsXPIPE protocol

Side Chain; Layer 2 protocol

RIF (RootstockInfrastructure Framework)

RSK (Rootstock) is a Bitcoin side chain developed and launched by IOVLabs in January 2018. It shares the security and decentralization features of Bitcoin networks through the integration of mining technology, and is compatible with EVM smart contracts, expanding the functionality of Bitcoin systems without sacrificing security. RBTC is a native token of RSK, 1:1 linked to BTC, and converted to BTC through a special bridging mechanism to pay for RSK network transaction fees. Currently, the circulation has reached 3334.

RSKIOV LabsRIF (RootstockInfrastructure Framework)APIDApp$RIFRIFRIF1.1

Stacks

Stacks is a blockchain network based on Bitcoin's Dapp and smart contracts, similar to the side chain or Layer2 on Bitcoin, and has relatively complete ecological applications such as DeFi, NFT, DAO, etc. STX is a native token issued by it, used to pay handling fees and smart contract fees.

Partial Stacks Ecological Application

On October 20th, Stacks released the sBTC developer version, which allows developers to start building applications using sBTC and testing basic functions such as deposit and withdrawal. SBTC is a 1:1 BTC asset on the Stacks layer that can access smart contracts for applications such as DeFi and NFT. Stacks plans to release a Nakamoto upgrade in the first quarter of 2024, significantly improving network security and operational speed.

Recently, both the price of STX and TVL have rebounded, with TVL exceeding $20 million and a market value of $1 billion. At present, STX is the second tier protocol with the largest market value in the Bitcoin ecosystem, with the most Dapps, which can capture the premium brought by the rise of Bitcoin and outperform the market. After completing the Nakamoto upgrade in the future, the STX ecosystem will experience further outbreaks.

TaprotAssets

Lightning Labs1018TaprotAssetsAlpha

LightningLabs was established in 2016 and has been dedicated to developing lightning networks to address the slow throughput of Bitcoin. Lightning Network is a two-layer solution that provides a small payment method. Users can conduct offline transactions through the payment channel of Lightning Network. When the transaction is completed, the payment channel is closed, and then the transaction is summarized and settled to the Bitcoin network, thereby reducing transaction fees and improving the throughput of the Bitcoin network.

Lightning network diagram

In 2022, LightningLabs raised $70 million in Series B, with early investors including Tesla and SpaceX, as well as the CEO of Robinhood. The main purpose of the funds was to build a multi asset layer Taro on top of the Bitcoin network. LightningLabs has strong financial and technical capabilities and is expected to build a global currency settlement layer on the Bitcoin network, further promoting the adoption of Bitcoin in the mainstream.

The cumulative BTC held by all nodes in the lightning network is steadily increasing

Nostr Assets Protocol1030TaprotAssets$TREAT$TRICK2.14.21000080008000$0.09700FDV3800

NostrAssetsProtocol Releases Halloween Airborne Tokens $TREAT and $TRICK

The price of TREAT in the trading market is approximately $0.09

epilogue

Since the beginning of this year, the BTC ecosystem has undergone astonishing development, with various native protocols emerging one after another, not only bringing more gameplay and applications to BTC, but also bringing new members to the BTC community, making it more diverse. Standing at the moment, it is difficult to accurately predict which protocol will ultimately achieve great success, but there is no doubt that we are at the starting point of the BTC ecosystem explosion, and the future is full of infinite possibilities.

Just like the 2021 public chain competition, each project has its unique technical characteristics and community culture, and the "hundred schools of thought contend" and mutually competitive situation will actually expand the track. Looking at the leading tokens of the BTC ecological protocol, the market value of $ORDI currently reaches $400 million, while the market value of $ATOM and $Pipe is only around $30 million. When an ecosystem is in its early stages, we can enter it at extremely low prices. Once the ecosystem undergoes further development, even widely deployed configuration investments can achieve huge returns.

More importantly, the emergence of BTC ecological protocol tokens has provided BTC investors with more choices. In previous bull markets, it was usually BTC that rose first, and then funds flowed into ETH and other counterfeit currencies. In this round of rise, BTC and its market share are also the first to reach new highs. BTC is the preferred target for institutions to allocate encrypted assets, while the BTC ecosystem project complements the investment choices of institutions. If the BTC spot ETF is successfully approved, the BTC ecological project is likely to be sought after by smart money due to its higher flexibility, thereby significantly outperforming other counterfeit currencies.

We are optimistic about the explosive growth of BTC native protocols such as Ordinals, Atomicals, and PIPE, as well as the long-term development of old tier 2 protocols such as Stacks and RIF, and closely monitor investment opportunities for related tokens.