The memecoin ecosystem has once again brought magic to crypto investors as PEPE the Frog posts huge profits and incredible numbers. The now popular Ethereum-based PEPE meme token was originally inspired by the Bitcoin BRC-20 PEPE, which launched earlier in March 2023.
PEPE’s exponential price growth in the barely first month posted nearly 38,900% ROI for early investors. This has led crypto enthusiasts and developers to investigate the original BRC-20 token standard version that created the first PEPE.
The BRC-20 is a new and unique token standard that has recently gained huge popularity and popularity thanks to the successes of the Ethereum-based PEPE.
A dive into the BRC-20 token standard
The BRC-20 token standard is an experimental mechanism to launch a token based on the Bitcoin blockchain network. This new token standard was created by a pseudonymous on-chain analyst named Domo.
Domo created the BRC-20 token standard in March 2023 to facilitate the transfer of fungible tokens across the Bitcoin network.
This new experimental standard would also allow developers and programmers to create and send fungible tokens, including memecoins, via the Bitcoin ordinals protocol.
While there are several token standards present in the blockchain industry, the BRC-20 is modeled after the popular Ethereum ERC-20 standard, although there are some fundamental differences.
The ERC-20 standard requiring the use of smart contracts to launch a token is quite different from the BRC-20. The latter simply requires a Bitcoin wallet to store tokens and create tokens without using smart contracts.
PEPE prioritizes newer Memecoins
Recently, there has been a frenzy of newer memecoins launched on the crypto market using the BRC-20 token standard due to its popularity. According to data reports from Coinmarketcap, 8,500 tokens, including memecoins, have been minted and launched using this standard.
This has resulted in a massive increase in the market cap and transaction volume of the BRC-20 token, which was reported to outperform Bitcoin by more than 50% between April 29 and May 2, 2023.
We can see that in the past 10 days, the number of BRC20 tx has largely surpassed that of ordinal numbers. They can even quickly overload the bitcoin network and cause problems. pic.twitter.com/FSGzkfeTJT
— CryptoKoryo (@CryptoKoryo) May 2, 2023
BRC-20’s increasing transaction volumes and market capitalization have sparked the interest of many investors who are exploring a variety of tokens created using this new token standard.
However, it is important to note that the BRC-20 standard is still in the experimental stage, so caution should be exercised when researching tokens based on it.
Bitcoin hovers near support at $29,200 on the daily chart timeframe | Source: BTCUSD on TradinView.com
Featured image of Istock, chart from TradingView.com
