Launch Runes self-developed market, how to explore the Runes ecosystem in one stop through OKX Web3 wallet?

Author: 0xFat

On April 20, as the block height reached 840,000, Bitcoin successfully completed its fourth halving. At the same time, the highly anticipated Runes protocol officially launched.

As an early supporter of Bitcoin ecosystem development, the OKX Web3 wallet launched its self-developed Runes market to help users explore the Runes ecosystem in a one-stop manner.

1. Launching the Runes Self-Developed Market to Help Users Navigate the Runes Ecosystem

Runes is a new Bitcoin protocol proposed by Casey Rodarmor, the creator of the Bitcoin Ordinals protocol, in 2023. It aims to utilize the blockchain's native UTXO transaction model to facilitate the issuance and use of fungible cryptocurrencies. Compared to protocols like Ordinals, Runes is more efficient and user-friendly.

Specifically, Runes has the following technical features:

• Runes introduces a UTXO-based fungible token protocol to the Bitcoin network, providing an alternative to traditional models like BRC-20 and ORC-20.
• Based on the UTXO model, it simplifies the token creation and management process, offering a smoother solution than address-based or off-chain protocols.
• It can seamlessly integrate with Bitcoin's architecture, helping to reduce blockchain bloat and improve scalability.
• It sets a new benchmark for Bitcoin token protocols, minimizing the creation of "garbage" UTXOs and providing a more user-friendly system to some extent.

In summary: a simple, UTXO-based, user-friendly fungible token protocol.

Currently, the OKX Web3 wallet web plugin has launched the Runes self-developed market, supporting the viewing, transferring, trading, and minting of Runes ecosystem assets, allowing users to experience the product according to their needs. Additionally, the deploy feature of the Runes market will be launched soon, which will support Runes ecosystem projects in deploying corresponding tokens.

How can users navigate the Runes ecosystem through the OKX Web3 wallet? (Taking the web plugin as an example)

• Connect the wallet (update to the latest version of the plugin wallet)
• Enter the Runes market
• Click on minting to view the tokens being minted
• Click on the token you want to mint
• Mint/Purchase (the minting process is the same as BRC-20)
• Confirm
• List

Familiar users should find it easy to notice that the minting process for Runes is very similar to that of BRC-20 tokens. Of course, it is worth noting that the OKX Web3 wallet's Runes market currently supports 17 popular projects, including Runes tone and Runepups, helping users navigate the Runes ecosystem in a one-stop manner.

2. What Are the Differences Between Runes and Ordinals?

Discussing the differences between the two cannot be separated from the background of Runes' birth.

In May last year, core developers of the Bitcoin community publicly stated that the Ordinals protocol was causing excessive garbage and frequent transactions, leading to congestion in the Bitcoin network, and the community should take action to stop it. In September, Casey began to publicly advocate for halting the minting of the BRC-20 protocol, and subsequently announced the redevelopment of the Ordinals alternative protocol, Runes. Casey believes that after improvements, Runes can reduce the phenomenon of generating large amounts of garbage UTXOs, making it a better, lighter, and simpler asset issuance solution than the previously experimental Ordinals protocol.

Currently, the development space for the Runes protocol mainly reflects in the following three aspects:

First, the compatibility and scalability of the Runes protocol are outstanding, allowing seamless integration with Bitcoin's UTXO model and layer-two protocols based on it, such as the Lightning Network. Compared to other fungible token protocols like BRC-20, Runes significantly enhances operational efficiency and user experience through a simplified transaction process and direct management of token balances tied to UTXOs.

Second, in terms of token issuance, Runes offers greater flexibility, allowing token names to range from 1 to 28 characters in length, and employs various innovative issuance mechanisms, including but not limited to fixed total issuance and public minting, even considering more expressive issuance methods. The fixed total method is more centralized, where the issuer directly mints the corresponding Runes assets for redistribution; while the public minting method is based on specific parameters, such as block height or timestamp, where the number of assets minted by users within a specified time determines the final total amount of the corresponding Runes assets.

Finally, in UTXO management, Runes uses OP_RETURN scripts to avoid the complexities and security risks that may arise from the witness part of transactions, reducing unnecessary UTXO generation and thus improving the overall health and efficiency of the network. The design philosophy of the Runes protocol is to minimize on-chain "footprints," encouraging optimized UTXO usage, allowing seamless integration with Bitcoin's infrastructure. It promotes the development and innovation of the Bitcoin ecosystem in a more straightforward and intuitive manner.

So, how does the Runes market launched by the OKX Web3 wallet differ from the inscription market of Ordinals in terms of product interaction paths?

First, in terms of product interaction paths, the Runes etching function corresponds to the engraving of BRC-20, but unlike Ordinals, which engraves data onto sats, Runes writes data into the transaction's Opreturn, binding the token balance to the UTXO output. Of course, a more significant difference is that Runes' transfer and purchase operations only require one transaction, and there is no need for dummy placeholders, meaning no initialization operations like those of Ordinals.

Because the Ordinals protocol engraves data onto satoshis to record information and perform off-chain indexing, while the Runes protocol directly records information on-chain based on UTXOs, this means that transaction outputs can include not only Bitcoin but also different quantities and types of Runes. For example, a transaction output can simultaneously contain 1 Bitcoin, 100 A Runes, and 1000 B Runes.

Of course, more interestingly, the Runes protocol initially required a minimum name length of 13 characters, such as "UNCOMMON • GOODS." After that, approximately every four months, the minimum name length is reduced by one character until the next halving event, at which point Runes containing only a single character can be created (a total of 26). Finally, in terms of issuance models, compared to the Ordinals' one-click public asset launch model, Runes ecosystem project parties can choose to directly allocate a fixed number of tokens to specified addresses during deployment or opt for Open Mint (fair launch).

3. What Does the Bitcoin Ecosystem Development Landscape of OKX Web3 Look Like?

As of now, the OKX Web3 wallet has launched the Ordinals, Atomicals, and Runes markets, helping users experience the latest developments in the Bitcoin ecosystem in real-time, while providing a one-stop entry for exploring the Bitcoin ecosystem. Users can easily acquire and trade assets through the Web3 wallet; discover and participate in popular projects in the Bitcoin ecosystem, and directly access the DeFi sector to achieve on-chain staking of Bitcoin assets, enjoying low gas fees for on-chain yields, etc.

Since March last year, the rapid development of the Bitcoin ecosystem has led to the emergence of billions of dollars in assets and the establishment of over 20 infrastructure platforms. Against this backdrop, OKX Web3 and UniSat, as key participants, have significantly led the development and construction of the Bitcoin ecosystem.

In fact, the OKX Web3 team, as active builders of Bitcoin ecosystem development, has always been inspired by the origins of Bitcoin and its geek spirit, which is also the core reason they can enter the field to support ecosystem construction at the first opportunity. Now, with the continued prosperity of the Bitcoin ecosystem, OKX has become a core leader in this wave of enthusiasm with its smooth and secure products, and almost every time the community mentions hot topics related to the Bitcoin ecosystem, the first thing that comes to mind is the OKX Web3 wallet.

Disclaimer:

The content of this article is for reference only and does not constitute or should not be regarded as an invitation, offer, solicitation, or recommendation for any product transaction or investment advice; investment should be cautious, as digital asset prices carry certain market risks and price volatility, especially transactions such as contract options are more susceptible to market risks and price fluctuations. Investing in digital assets carries risks and may even lead to the loss of your entire investment amount; therefore, digital asset trading may not be suitable for all investors, and you need to understand the product's operating model and make your own judgment and investment decisions. Please ensure that you understand and comply with local laws and regulations.