<p>BRC-20 tokens are created on the Bitcoin blockchain and don't follow Bitcoin rules for halving and mining.</p>
<p>You could think of it as a bit like like writing &quot;IOU €50&quot; on a $1 banknote. The US Treasury and The Bureau of Engraving and Printing don't know about or control those IOUs.</p>

CC BY-SA 4.0
2023-05-24T18:15:27.640Z
2023-05-24T18:45:31.950Z
2023-05-24T18:45:31.950Z
RedGrittyBrick
<p>Many different projects have been started as an attempt to bring tokenization on to Bitcoin such as Taro, Counterparty, and RGB. It is worth noting these are not Bitcoin core standards but are projects built on top of existing Bitcoin functionality. Therefore they do not have any implicit tie to Bitcoins proof of work consensus mechanism and also would not automatically inherit the halving cycle of Bitcoin. Even if tokenization was built at the core level, tokens always have rules that are distinctly separate from the rules of the chain's native coin.</p>

CC BY-SA 4.0
2023-05-24T18:45:07.873Z
2023-05-24T18:45:07.873Z
Poseidon
<p>Yes, that's what BRC-20 tokens (aka 'ordinals') are. It sort of jumped the shark though. It was popular for about 3 weeks, but it's difficult to get started for most new users. They are created using ordinal inscriptions, which are a type of script file that can be stored on the Bitcoin blockchain. BRC-20 tokens can be used to represent a variety of assets, such as digital art, collectibles, and gaming items as well, so they might end up competing with NFTs some day.</p>

CC BY-SA 4.0
2023-07-30T20:25:55.133Z
2023-07-30T20:25:55.133Z
LorisJro
<p>If so, would this token adhere to the same principles as Bitcoin, such as halving events and mining techniques?</p>

<blockchain><colored-coins><ordinals><decentralized-assets><tokens>
Is it possible to create a token on the Bitcoin blockchain?
Eli Shane
# Is it possible to create a token on the Bitcoin blockchain?

(Asked by: username_0 on 2023-05-24)

If so, would this token adhere to the same principles as Bitcoin, such as halving events and mining techniques?

**Tags:** blockchain, colored-coins, ordinals, decentralized-assets, tokens


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## 3 answers

### Answer by username_1 on 2023-05-24. Score: 1

BRC-20 tokens are created on the Bitcoin blockchain and don't follow Bitcoin rules for halving and mining.

You could think of it as a bit like like writing "IOU €50" on a $1 banknote. The US Treasury and The Bureau of Engraving and Printing don't know about or control those IOUs.


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### Answer by username_2 on 2023-05-24. Score: 1

Many different projects have been started as an attempt to bring tokenization on to Bitcoin such as Taro, Counterparty, and RGB. It is worth noting these are not Bitcoin core standards but are projects built on top of existing Bitcoin functionality. Therefore they do not have any implicit tie to Bitcoins proof of work consensus mechanism and also would not automatically inherit the halving cycle of Bitcoin. Even if tokenization was built at the core level, tokens always have rules that are distinctly separate from the rules of the chain's native coin.


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### Answer by username_3 on 2023-07-30. Score: 0

Yes, that's what BRC-20 tokens (aka 'ordinals') are. It sort of jumped the shark though. It was popular for about 3 weeks, but it's difficult to get started for most new users. They are created using ordinal inscriptions, which are a type of script file that can be stored on the Bitcoin blockchain. BRC-20 tokens can be used to represent a variety of assets, such as digital art, collectibles, and gaming items as well, so they might end up competing with NFTs some day.


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