Ordinals are a new way to bring NFTs to Bitcoin. Learn what Ordinals are, how to setup an Ordinal wallet, and how to buy your first digital artifact!
What are Bitcoin Ordinals?
Ordinals are native Bitcoin NFTs. Anyone can create an Ordinal by attaching data onto an individual satoshi (the smallest unit of Bitcoin). The act of putting data onto Satoshis is called inscribing. As such, Ordinals are often called Inscriptions or Digital Artifacts.
As defined in the Ordinal Theory Handbook,
- Ordinals are wholly owned. Whomever owns the Satoshi the Ordinal is inscribed on controls that Ordinal.
- Ordinals are complete. No sidechain or off chain storage is necessary.
- Ordinals are wholly controlled. No one else can determine what you do with your Ordinals. You can sell, trade, send, or hold them at will.
How do Ordinals (Bitcoin NFTs) work?
Casey Rodarmor published the Ordinal Theory Handbook on January 20th, 2023. The handbook defines first, how to identify individual satoshis, and second how to attach data to one.
The Ordinal Protocol assigns an ordinal number to each satoshi based on it's mint time. The unique identifier gives satoshis a non-fungible property. Holders can now identify and select which satoshis they want to use.
The Ordinal Theory Handbook presents the following notations for the classification system:
- Integer notation: Identifies the satoshi in numerical form. Integer notation assigns a number based on the order the satoshi is mined.
- Decimal notation: Identifies the satoshi in decimal format. The block height determines the first number. The offset of the satoshi within the block determines the second number.
- Degree notation: Identifies the satoshi based on the cycle, and index the satoshi was mined.
- Percentile notation:Identifies the satoshi based on when it was mined, expressed as a percentage.
- Name notation: Identifies the satoshi with characters a through z.
The classification system makes some satoshis more rare than others based on their proximity to key Bitcoin events.
Today, rare Satoshis are sought out by collectors around the world.
In addition to the classification system, the Ordinal Protocol laid out how to inscribe satoshis with data.
Inscribing is the process of attaching data to a satoshi. To write the data, users send a transaction to a taproot compatible address. They save the data in the witness section of the transaction. Any data can be chosen, including images, text, or video.
Creating a wallet for Ordinals on Magic Eden
Next, we need an Ordinal compatible wallet.
Magic Eden Wallet is the premier Ordinal wallet. It carries a number of Bitcoin features, including
- Native Ordinal support
- Native BRC-20 support
- All-in-one Rare Sats discovery and management
- Native integration with Magic Eden, the largest marketplace for Ordinals.
Magic Eden also supports other popular Bitcoin wallets such as Xverse, Leather Wallet and Unisat.
We recommend having only one Bitcoin wallet extension to avoid potential conflicts or unexpected issues.
Understanding Ordinal wallet addresses
When using wallets for Ordinals on Magic Eden, you will have two Bitcoin addresses:
- One for keeping your Bitcoin for purchases.
- Another dedicated solely to Ordinals inscriptions and Digital Artifacts (known as a Taproot address).
Funding your wallet with Bitcoin
Note: Bitcoin transactions take longer than other networks to confirm. To avoid delays, we recommend funding your wallet well in advance, before you intend to mint or trade.
Here are the steps to fund your wallet:
- Purchase Bitcoin
- Bitcoin can be purchased on most central exchanges (CEXs). Follow their own instructions in setting up an account.
- Transfer your Bitcoin
- Following the instructions for your chosen CEX, initiate a transfer. Add your Bitcoin RECEIVE wallet address. Authorize and sign the transfer.
- Once the transaction is confirmed, your wallet will be funded with your Bitcoin!
- Add your Bitcoin RECEIVE wallet address to receive the funds to your wallet.
Please be patient during the transaction as Bitcoin transactions can be slow. Once the transaction is successful, your wallet will be funded and ready for action.To track your transaction status, use your transaction hash and blockchain explorer.
Buying and selling Ordinals
We wrote an entire guide on buying and selling Ordinals here. You can buy Ordinals on dedicated Ordinals marketplaces, as well as a specialized NFTmarketplace like Magic Eden.
Top Selling Ordinals and their current prices
In the last 30 days, the top five Ordinal collections are:
- NodeMonkes:With a total volume of 322.3 BTC. Current floor price is 0.219BTC.
- Bitcoin Puppets:With a total volume of 291.4BTC. Current floor price is 0.141BTC.
- Runestone:With a total volume of 138.6BTC. Current floor price is 0.013BTC.
- Ordinal Maxi Biz (OMB):With a total volume of 92.39BTC. Current floor price is 0.245 BTC
- Quantum Cats:With a total volume of 85.2BTC. Current floor price is 0.27BTC.
Note:This section was last updated on June 13th, 2024. For the most complete and accurate listings of Ordinal collections, see MagicEden't Ordinals Marketplace.
How to Inscribe Ordinals
Our Ordinals Inscription Tool allows anyone to create Ordinals.
The Inscription Tool allows you to upload whatever data you would like to attach, including files and text data.
Minting on Magic Eden Ordinals Launchpad
Welcome to the Launchpad, an experience that may differ from what you've encountered on other chains. If this is your first time transacting on Ordinals with your wallet, you'll need to prepare your wallet first by confirming a popup prompt.
Follow these steps to mint Digital Artifacts:
- Ensure your wallet is prepared for minting.
- Click the "mint" button once.
- Depending on the creator's instructions, you may be on a whitelist or have public access.
- Avoid using imported wallets for minting; use a fresh wallet dedicated to the minting process.
- Be patient, as Bitcoin transactions may take time to process.
- To track your minting transaction, click "Click here to view." This will lead you to Mempool, where you can find an estimated time of arrival for your transaction.
- Remember, you cannot broadcast a transaction more than once.
