The New BRC-20 Proposal: The Catch
Revolutionary as the proposal is, it still has its limitations as outlined in the BRC-20 Fraction proposal published by Domo. Based on the current design of BRC-20, anyone can create transfer inscriptions to any address.
While this model boosts accessibility to inscription tools for anyone interested, it also predisposes the users to bad actors who can fragment their balances and generally disrupt their activities. While the occurrence of these attacks is somewhat non-existent, the proposal is deemed a proactive step to protect users and close up such attack channels.
Should the Fraction function be integrated into the BRC-20 code, it will enforce some validity conditions on transfers. The idea is simple, the conditions enforced will generally make it more cumbersome for attackers to operate at will and harm users.
The proposal went on further to outline what the implementation code is and noted that users can apply the inscription to the “address holding the balance they want to limit.” This implementation is not a recurrent action and as detailed, it may not impact the average user remarkably.
When BRC-20 tokens were introduced earlier in the year, they ignited a surge in activities never seen on the Bitcoin network. Known as a strict payment network, BRC-20 tokens created another way for Bitcoin enthusiasts to gain a better appreciation of what the blockchain can do.
Though the hype surrounding ordinal inscriptions has died down based on competition from other digital collectibles, the new proposal is likely to help change the game and revive the interest in these new asset classes moving forward.
Community Reaction to the Proposal
Since Domo published the new BRC-20 proposal, it has been getting support from members of the community.
One community member Shrink categorically agreed with the proposal, noting that the disruption being guarded against will not only affect users if it happens but will also impact exchanges and stablecoin issuers. His posturing is in boosting the businesses building new value around the BRC-20 innovation.
Modeled as Bitcoin’s version of ERC-20, BRC-20 has been getting a number of unique game-changing proposals including the Runes Module Proposal and the Modular Proposal by UniSat to mention a few.
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