- February 10, 2023
- Posted by: Shalini W
- Category: Business plans
the team behind a “pay-to-earn” social network built on the rival Bitcoin SV blockchain, is among the developers attracted by the recent excitement surrounding Ordinals NFT on Bitcoin (BSV).
Existing on BSV, Twetch’s social network allows users to earn money for their content. The platform also includes a marketplace for non-fungible tokens (NFTs), a BSV wallet, and several other features, such as a chat function and a job board.
In the past two weeks, Bitcoin blocks have been stuffed with quirky JPEGs, audio files, and text, thanks to the successful (yet controversial) launch of the Ordinals protocol last month, which stores NFTs on the Bitcoin blockchain.
The trend has been met with mixed reactions from longtime Bitcoin supporters, many of whom have long derided the NFT craze on Ethereum and other blockchains as a diversion from Bitcoin creator Satoshi Nakamoto’s vision of a decentralized network primarily for financial transactions.
Given BSV’s self-promotion as the original Bitcoin and its affiliation with Craig Wright – an Australian computer scientist who has claimed without clear proof to be Satoshi Nakamoto, the creator of Bitcoin – it is likely that BSV is not the original Bitcoin. – Twetch’s sudden interest may cause additional concern among Bitcoiners.
Even the creator of Ordinals, Casey Rodarmor, has doubts about Twetch’s association with BSV due to his ties to Wright and his shaky evidence. He welcomed the interest, however.
Ordinal: Hope or hysteria?
The Ethereum community has already established a successful “blueprint” for a thriving NFT ecosystem, including a browser-based wallet such as MetaMask, a marquee brand such as Bored Apes, and an NFT marketplace such as OpenSea.
Twetch’s founders intend to replicate Ethereum’s success by implementing a similar NFT model on Bitcoin using the Ethereum blueprint, especially now that Ordinals have emerged as the hottest new thing on the dominant blockchain.
Rose explained, “Ethereum laid out the road map for us: OpenSea, Bored Ape, and MetaMask.” These are the ultimate tools for utilizing NFTs, working with them, storing them, and owning and trading them.
It is unclear whether the Ordinals craze is a fad or a more lasting development.
Twetch co-founders gambled on the latter. Twetch is already exploring capital-raising options for its Bitcoin-based NFT ecosystem.
Satoshi Dice’s Case
This would not be the first time a startup has capitalized on a viral fad within the Bitcoin community. On April of 12, Erik Voorhees (who later founded the cryptocurrency exchange ShapeShift) released a clever dice game called Satoshi Dice.
Players would send bitcoin to a Satoshi Dice address inbyhe desired odds and payout (lower odds yielded a higher payout and vice versa). If a player won, an immediate bitcoin payment was sent to their wallet address.
The game quickly gained popularity in the Bitcoin community, and by the beginning of May 2012, Satoshi Dice was responsible for more Bitcoin transactions than all other use cases combined.
“Surprisingly, from Bitcoin’s inception to the beginning of 2014, more than half of all Bitcoin transactions were to or from Satoshi Dice,”
This also indicates that the game paid more than half of all network mining fees during these years. It was without a doubt a killer app.”
In an environment where Bitcoin’s subsidy — the amount of bitcoin awarded to a miner for successfully mining a new transaction block — is gradually decreasing, miners will become increasingly interested in high transaction fees.
If Ordinals and Twetch a level of success comparable to that of Satoshi Dice between 2012 and 2014, mining fees may rise and network security may theoretically improve. Bitcoin extremists may have to hold their noses.
Petty stated, “I’m best friends with the Riot Blockchain team, and they’re doing exceptionally well because they’re so large, whereas everyone else is struggling.” (Riot Blockchain is one of the largest publicly traded Bitcoin mining companies in the world.) When they see the fees increase, I predict that more miners will become pro-Ordinals because they are not making a lot of money at the moment.
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