I just came across an interesting topic—are inscriptions really worth participating in? Let me give everyone a straightforward explanation.

Speaking of inscriptions, they are essentially content engraved on Bitcoin's satoshi through the Ordinals protocol, which can be text, images, or even videos. Some compare Bitcoin to digital gold, and inscriptions are like gold jewelry—both are valuable but differ greatly in worth. Although Bitcoin doesn't have as complex features as Ethereum, inscriptions still have a market.

In the Bitcoin ecosystem, creating these is called "inscribe," and in our circle, we say "engraving inscriptions." The reason this concept became popular is simple—profit potential. You see, some inscriptions have surged 100 times or even 1,000 times in value. For example, the project ORDI, last March, could be minted for just $3,000 to produce 100k units, with a peak price of $4.50 each, now trading at $2.34. Stories of such wild rises and falls attract countless people to join in.

Later, someone named these kinds of tokens—BRC-20, claiming it’s a new way to distribute tokens, with no project team or risk of rug pulls, and equal opportunity for everyone. Sounds great, but what’s the reality? BRC-20 is an experimental meme token on the Bitcoin chain, anyone can mint it on a first-come, first-served basis. It’s truly decentralized, with no private sales, and anyone can participate, but its functionality is very limited—besides quantity, there’s not much else.

Currently, 85% of inscriptions on Bitcoin are BRC-20 tokens, which are basically a group of speculators gambling on luck, hoping to replicate ORDI’s success. But breaking out of the circle is very difficult. The real profit opportunity is during the initial minting stage, but how to choose? Information asymmetry makes the market unfair—you rarely know which will succeed.

Another big issue with inscriptions is network congestion and high fees. Bitcoin blocks are mined every 10 minutes, while Ethereum takes only 12 seconds, leading to efficiency differences. The inscription technology is still very primitive, infrastructure is lacking, and it’s hard for newcomers to get started.

This is where ERC-20 tokens come into play—they are the real game-changer. They solve the high gas fee problem, increase block speed, and effectively address BRC-20’s shortcomings. Now, many projects are jumping on the bandwagon, but honestly, only BRC-20 and ERC-20 have real value; others are just riding the trend.

Looking at recent data: SATS has a 24-hour trading volume of $340k with 54k addresses holding; RATS has a volume of $2.47M with 17.8k addresses; CATS volume is $229k; BTCS volume is $1.43M. These figures reflect the market’s changing enthusiasm, but the risk of getting caught holding the bag is high. Historically, SATS trading volume was very high, but whether it can sustain that remains to be seen.

Honestly, the inscription market now is like the various meme coins of 2021—hot for a while, then capital flows out, and eventually it might just go to zero. We’re at a fork in the road—no one knows which will become the next ORDI and which will turn into trash.

So, the final advice is: inscriptions are full of opportunities, but the risks are equally huge. Before participating, you must analyze rationally and do thorough research. Invest cautiously and bear the risks yourself. I hope everyone can find opportunities that suit them, but don’t let FOMO cloud your judgment.