Introduction to Ordinals & Inscribing Art on the Bitcoin Blockchain

Ordinals is a protocol that builds on Ordinal Theory, which uniquely numbers each satoshi (or “sat”)—the smallest unit of Bitcoin. Think of it as each individual “cent” of a Bitcoin having a unique serial number, which allows it to be tracked independently on the blockchain. This numbering enables each satoshi to be paired with special data, called an Inscription. This pairing is what makes an Ordinal feel like a “Bitcoin NFT,” although Ordinals go beyond standard NFTs in interesting ways.

Here's an example of a piece of digital, generative art that was inscribed on Bitcoin in 2023, when the official "Ordinals Protocol" was first launched. Since Bitcoin launched in 2009, it has been held primarily as a store of value, like Digital Gold. But in 2023 with the launch of Ordinals, it's now possible to "Inscribe" data directly on the Bitcoin blockchain for the first time in it's history. A truly remarkable innovation for the world.

Now that you know a few of the basics, let's look at an example of what this enables in the real world.

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This is the story of an artist named Luna. 🎨

Luna is a digital artist who loves creating surreal, dreamlike artwork. She has a small following on Instagram but struggles to make enough money to pay her bills. She finds herself at the mercy of Instagram’s algorithm and needs expensive galleries or online marketplaces to reach her audience and sell her art. On top of that, these platforms take huge cuts, leaving her with just a fraction of her earnings.

One day, Luna hears about Bitcoin Ordinals and decides to try something new. She learns that Ordinals let her inscribe her art on individual “sats” (tiny pieces of Bitcoin), making each piece unique and fully owned by whoever buys it. With Ordinals, Luna realizes that she can share her art with people in a totally new way, and here’s how she does it:

Step 1: Turning Her Art into Digital Artifacts

Luna decides to inscribe a series of her dreamlike artworks directly onto the Bitcoin blockchain. Each piece is tied to a specific sat, so when she inscribes “Dreamscape #1” onto a sat, that sat now contains her art in a way that anyone can see on the Bitcoin ledger. It's like engraving her artwork on a grain of digital “sand,” but on a permanent, open, global ledger that anyone can view.

Step 2: Using Bitcoin for Direct Sales

Now, Luna has her artwork permanently inscribed as Ordinals. She doesn’t need a gallery or platform like Instagram to sell it; she can transfer these inscribed sats directly to buyers. Since these are tied to Bitcoin, she just needs someone with a Bitcoin wallet who wants to buy her art. She decides to create a website where she showcases her art and lets people know they can buy directly from her with no middleman fees.

Step 3: Building an Audience with Unique Collections

Luna loves storytelling, so she uses the Parent-Child Provenance feature of Ordinals to create a digital family tree of her art. Imagine her “Dreamscape” series as the “Parent” inscription, with each individual artwork as a “Child.” This collection grows over time, with each new art piece linked to the first, and fans can follow the story in a clear, connected lineage. Her fans know these are true “one-of-a-kind” items, since they’re etched forever on Bitcoin.

Step 4: Adding Value with Recursive and Rare Sats

Luna also uses a special feature called Recursive Inscriptions to add interactive elements to her work. One of her “Dreamscape” pieces references another piece, making them connect in a way that brings her whole series to life. And some of her inscriptions are on rare sats, adding a collectible appeal. These rare sats are like limited-edition canvases, and people love the extra scarcity and uniqueness.

The Results

1. No Middlemen or Fees: Luna is no longer dependent on Instagram or a gallery. She’s selling her art directly to fans who truly appreciate it, and she keeps 100% of her earnings.

   
   

2. Permanent Proof of Ownership: Her fans love that they have a one-of-a-kind piece from her, fully recorded on Bitcoin. They can hold onto it, gift it, or even resell it, but the piece always remains tied to her original inscription.

   
   

3. Lasting Impact and Creative Control: Unlike a physical gallery that might close, her art is permanently accessible on Bitcoin. Luna’s art doesn’t depend on any platform’s lifespan or trends—it’s there as long as Bitcoin exists.

   
   

The Future for Luna and Other Artists

By using Ordinals, Luna has transformed her art career. She no longer needs to fight algorithms or pay huge fees; instead, she has a direct relationship with her audience. Bitcoin Ordinals give her freedom to grow her collection in creative ways, like multi-layered stories and rare sats. Her journey becomes more than just an art sale; it’s an interactive, collectible experience. Luna now has true independence and control over her art.

In a nutshell: Ordinals allow artists like Luna to share, sell, and connect with fans without the need for centralized platforms. Each piece becomes a digital artifact on the Bitcoin blockchain—permanent, collectible, and free from middlemen. It’s like giving every artist a tiny art gallery in the world’s most secure digital vault, where their art can be discovered, cherished, and collected by anyone, anywhere. 😺

Understanding Bitcoin Ordinals: A Glossary of Terms

1. Sats: The smallest unit of Bitcoin, with 100 million sats making up 1 BTC. Ordinals assigns unique identifiers to each sat, making it trackable.

   
   

2. Inscription: This is the data recorded on the Bitcoin blockchain along with a sat. It could be text, images, or other forms of digital content. So when you hear "Ordinals inscriptions," think of the art or message embedded in each tiny sat.

   
   

3. Reinscription: Each sat can have multiple inscriptions (like layers on a digital canvas). So, you could add another inscription to a sat that already has one, creating a unique collection of inscriptions on that single sat.

   
   

4. Parent-Child Provenance: Ordinals also allow for hierarchical collections, where an inscription can be the "parent" of other inscriptions. Think of it as a digital family tree recorded on the Bitcoin blockchain. This feature allows for collections that resemble multi-generational art pieces or stories.

   
   

5. Recursive Inscriptions: This enables one inscription to reference and use another, allowing artists or developers to create interactive, modular content. It's like building with Legos—each inscription is a piece that can connect to others!

   
   

6. Cursed Inscriptions: These were early inscriptions that didn’t follow the main Ordinals protocol and received "negative" inscription numbers once they were recognized by the protocol. Cursed inscriptions are rare, adding a collectible aspect.

   
   

7. Satributes: Special sats are designated based on rarity, like the "legendary" first satoshi of the Genesis block or "epic" sats from halving epochs. Think of these as shiny Pokémon of the Ordinals world.

   
   

Ordinals on Bitcoin allow for a whole new realm of digital artifacts directly tied to the blockchain. It's like turning individual satoshis into a collectible, digital gallery that is fully recorded and secured by Bitcoin's network. Neat, right? 😺