A scheme for numbering individual satoshis by order of issuance and transfer, allowing arbitrary data to be inscribed onto specific satoshis on the Bitcoin blockchain via the witness field of Taproot transactions.
Semantic Classification
Content
- Ordinal theory assigns a sequential number to each satoshi based on the order in which it was mined, and tracks it through transactions using a first-in-first-out rule. This gives individual satoshis a stable identity that can be referenced and transferred.
- Inscriptions attach content such as images or text to a numbered satoshi by storing the data in the witness portion of a Taproot transaction. Ordinals provided the foundation for later experiments including the BRC-20 token convention.