A blockchain developer is about to fork the BRC-20 token commonplace to introduce decentralized finance capabilities to the Bitcoin community.
A blockchain developer beneath the alias Mikael.btc, finest often known as the creator of the BRC-100 token commonplace, needs to fork BRC-20 in an effort to roll out a brand new protocol designed to deliver decentralized finance to the Bitcoin (BTC) community.
In an Aug. 9 publish on X, the developer outlined plans for the fork, emphasizing that the improve would tackle key limitations of the BRC-20 commonplace, together with its “lack of programmability,” scalability challenges, and the absence of defi infrastructure.
In keeping with Mikael.btc, the brand new protocol will leverage applied sciences reminiscent of Inscriptions — used so as to add metadata to Bitcoin’s sats — and OP_RETURN — a script that permits information to be saved inside transactions — to boost Bitcoin’s performance, enabling customers to entry decentralized finance.
“Each BRC-20 token might be mapped to a BRC-100 token with the identical ticker and the identical provide. 100% of the brand new BRC-100 token might be distributed to the holders of the unique BRC-20 token, with the precisely similar quantity because the holdings on BRC-20.”
Mikael.btc
Following the fork, holders of BRC-20 tokens will routinely obtain equal property on the BRC-100 protocol, the developer added. Nevertheless, these with BRC-20 tokens held on centralized exchanges might want to watch for the exchanges to distribute the brand new forked property.
The push for defi on the Bitcoin community gained momentum just lately after a analysis report from Pantera Capital, a crypto enterprise capital agency, projected that the Bitcoin-based defi ecosystem may entice a whole bunch of billions of {dollars} in liquidity by web3 protocols, implying that Bitcoin’s defi sector may obtain a market share similar to that of Ethereum’s.
