Money Printer Issue #9: Let's get you ready for Bitcoin summer. (PART II - Ordinals Edition)
The Money Printer is a new newsletter focused on market strategies, opportunities, and resources in the crypto space. The first edition discusses navigating the complex world of cryptos and NFTs.
Ordinals has revived interest in NFTs on the Bitcoin network.
Bitcoin Ordinals are often compared to NFTs.
Before we dive into how to purchase a Bitcoin Ordinal, let's look at the differences between them.
NFTs are digital representations of ownership for unique items and commonly exist on blockchains like Ethereum.
NFTs are minted through smart contracts and have unique identifiers, not interchangeable with other NFTs.
Ordinals are a numbering scheme for the smallest units (satoshis) on the Bitcoin blockchain.
Ordinal inscriptions allow files to be stored directly on the Bitcoin blockchain as bitcoin transactions. Namely, it's a characteristic of what we can call a "digital artifact."
Ordinals are considered digital artifacts, fulfilling requirements of decentralization, immutability, and being on the blockchain.
Ordinal inscriptions have brought new use cases and experimentation with digital art on the Bitcoin network.
Ordinals have expanded the capabilities of the Bitcoin chain and highlighted its potential beyond being a digital asset.
There are concerns about block size and block space related to Ordinals, but overall, they have generated excitement and showcased Bitcoin's potential in the crypto world.
Ordinals do not use smart contracts and store files within bitcoin transactions, while NFTs use separate metadata files.
Where are we headed?
Bitcoin Ordinals are catching fire by the day. Big exchanges have started listing these assets on their exchanges.
New bitcoin wallets to trade ordinals are being created at a rapid pace. Wallets such as Xverse, Hiro, Unisat and Ordinals Wallet.
Now, how do you Invest in Ordinals?
Investing in Ordinals and BRC-20 tokens are two very different things.
Last time I went over how to trade BRC-20 tokens.
Today we're looking at how to do it with Ordinals.
Investing in Bitcoin Ordinals with Ordinal Wallet.
To purchase digital artifacts on the Bitcoin blockchain (let's call them NFTs this time), you can follow the steps below:
Visit the ordinalwallet website to create a new wallet that will allow you to access the NFT market on the Bitcoin blockchain.
This first step is to choose "Create Wallet" on the main screen and then choose "Create new wallet".
The next step is to enter a strong password to protect your wallet and confirm it. Keep this password safe as it will be required to access your wallet.
Ordinals Wallet will then generate a 12-word recovery phrase (Seed). Write down and securely store this phrase. It will be important for you in order to recover your wallet in case ofyou lose it.
The following page will ask you to confirm 4 of the words amongst the 12-word recovery phrases.
That's it. Once completed, you'll receive a confirmation of success from Ordinals Wallet. Creating an ordinals wallet is as easy as that.
Once your wallet is created, you can explore the marketplace of an NFT market that did not exist a few weeks ago. To do this go under the "Collections" tab.
Now, there are other wallets you can use to buy/sell ordinals such as: Xverse Hiro Wallet Unisat.
However, when dealing with bitcoin wallets to trade ordinals be very careful. You will have 2 Bitcoin addresses, one where you will keep your Bitcoin and the other ONLY for Ordinals inscriptions/NFTs (this is known as a Taproot address).
It is advisable to ensure that your wallet is sufficiently funded before minting or trading Bitcoin NFTs.
The time it takes for funds to transfer to the wallet can vary significantly due to various factors.
To be safe, it is recommended to transfer Bitcoin to your minting wallet at least one hour before the minting process begins. It will facilitate things a lot.
One thing I would say is to carefully study the available options before deciding to invest in a particular BTC NFT.
This is the end for PART II on how to get in the Bitcoin Ordinals game.
Stay tuned as I'm dropping PART III and final part of this series that will help you get an edge on the Bitcoin market.
nice article good <3
Great piece, still holding $OXBT since mint, will it still moon?