What Are Bitcoin Ordinals? Complete Guide to Bitcoin NFTs
What Are Bitcoin Ordinals?
Bitcoin Ordinals are a protocol that assigns a unique serial number to every individual satoshi — the smallest unit of Bitcoin, equal to 0.00000001 BTC. This numbering system, called ordinal theory, makes each satoshi distinguishable from every other satoshi, transforming them from interchangeable units into individually identifiable digital artifacts.
Created by Casey Rodarmor and launched in January 2023, the Ordinals protocol introduced something that many people thought was impossible: native NFTs on the Bitcoin blockchain. Before Ordinals, creating non-fungible tokens on Bitcoin required sidechains or complex workarounds. Ordinals changed that by working directly within Bitcoin's existing technical framework.
The key innovation is that once you can identify individual satoshis, you can attach data to them. This data — images, text, audio, video, HTML, or any other file type — is called an inscription. The inscription is permanently stored on the Bitcoin blockchain, making it immutable, censorship-resistant, and as durable as Bitcoin itself.
By February 2026, more than 75 million inscriptions have been created on Bitcoin. The market has matured significantly, with dedicated wallets, marketplaces, and an active community of collectors and creators. At SPUNK·BET, we give away Ordinal inscriptions as prizes in tournaments and giveaways — real Bitcoin-native digital art that you can win just by playing our free games.
How Ordinal Theory Works
To understand Ordinals, you need to understand ordinal theory — the numbering system that makes it all possible. Every satoshi that will ever exist gets assigned a number based on the order in which it was mined.
The Numbering System
Bitcoin's total supply is capped at 2,100,000,000,000,000 satoshis (21 million BTC). Ordinal theory assigns each satoshi a number from 0 to 2,099,999,999,999,999. The first satoshi ever mined in the genesis block is ordinal 0. The second is ordinal 1. And so on, in the exact order they were created through mining.
When a Bitcoin transaction is created, ordinal theory uses a simple first-in-first-out (FIFO) rule to track which satoshis move to which outputs. If you spend a UTXO containing satoshis numbered 100 through 200, and the transaction creates two outputs — one for 50 sats and one for 51 sats — the first output gets satoshis 100-149 and the second output gets satoshis 150-200.
Why Individual Numbering Matters
Normally, satoshis are fungible — one sat is identical to any other sat. Ordinal theory breaks this fungibility by giving each satoshi a unique identity. This identity persists across every transaction, forever. A specific satoshi can be tracked from the moment it was mined through every transaction it has ever been part of.
This is what makes inscriptions possible. When you attach data to a specific satoshi, that data follows the satoshi wherever it goes. Transfer the satoshi, and the inscription goes with it. The inscription and the satoshi are permanently linked.
Key Insight
Ordinal theory is a social convention, not a consensus change. It does not modify Bitcoin's protocol or require any network upgrade. It is simply a way of interpreting data that already exists in Bitcoin's transaction history. Every Bitcoin node already has all the information needed to track ordinals — they just were not looking at it that way before.
What Are Inscriptions?
An inscription is data attached to a specific satoshi. Think of it as carving information onto a particular coin. The data is stored in the witness section of a Bitcoin transaction, which was expanded by the Taproot upgrade in November 2021.
Inscriptions can contain virtually any type of data:
- Images: PNG, JPEG, GIF, SVG, and WebP files
- Text: Plain text, JSON, HTML, and CSS
- Audio: MP3, WAV, and FLAC files
- Video: MP4 and WebM files
- Applications: Full HTML/CSS/JavaScript applications that run in a browser
- 3D Models: GLTF and other 3D file formats
The critical difference between inscriptions and traditional NFTs is that inscription data is stored entirely on-chain. There is no external storage, no IPFS hash pointing somewhere else, and no server that needs to stay online. The data lives in Bitcoin's blockchain forever, backed by the most secure and decentralized network in existence.
How Inscriptions Are Created
Creating an inscription is a two-step process that uses Bitcoin's Taproot capabilities.
Step 1: Commit Transaction
A commit transaction is broadcast that includes a Taproot output containing the inscription data in its script. This transaction does not reveal the inscription data — it only commits to it cryptographically. The data is hidden inside the Taproot script tree.
Step 2: Reveal Transaction
A reveal transaction spends the commit output, which forces the Taproot script (containing the inscription data) to be published on the blockchain. At this point, the inscription becomes publicly visible and permanently stored. The inscription is now bound to the first satoshi of the first output of the reveal transaction.
This two-step process exists because of how Taproot works. Taproot scripts are only revealed when they are spent, not when they are created. The commit-reveal pattern ensures the inscription data is stored as efficiently as possible while taking advantage of Taproot's witness discount, which makes data storage in the witness section cheaper than in other parts of a transaction.
Size Limits and Costs
The maximum size of an inscription is limited by Bitcoin's block weight limit of 4 MB. In practice, most inscriptions are much smaller — typically between 10 KB and 400 KB for images. Larger inscriptions cost more in transaction fees because you are paying to store more data on the blockchain.
Inscription costs depend on two factors: the size of the data and the current fee rate on the Bitcoin network. During low-fee periods, a small image inscription might cost just a few dollars. During high-fee periods, the same inscription could cost significantly more. This variable pricing creates an interesting dynamic where creators often time their inscriptions to coincide with low-fee windows.
Bitcoin Ordinals vs Ethereum NFTs
The comparison between Ordinals and Ethereum NFTs reveals fundamental differences in philosophy and architecture.
| Feature | Bitcoin Ordinals | Ethereum NFTs (ERC-721) |
|---|---|---|
| Data Storage | Fully on-chain | Usually off-chain (IPFS, Arweave, or servers) |
| Blockchain | Bitcoin L1 | Ethereum L1 (or L2s) |
| Security | Bitcoin proof-of-work | Ethereum proof-of-stake |
| Smart Contracts | None required | Required (ERC-721 contract) |
| Immutability | Permanent, no admin keys | Contract owner can modify metadata |
| Royalties | Not enforced on-chain | Marketplace-enforced |
| Content Persistence | Guaranteed (on Bitcoin forever) | Depends on external hosting |
| Ecosystem Maturity | Growing rapidly | Mature (since 2017) |
The most significant advantage of Ordinals is permanence. When you own an Ordinal inscription, you own both the token and the content. With Ethereum NFTs, you own a token that points to content hosted elsewhere. If that hosting disappears, your NFT becomes a pointer to nothing. This has actually happened — multiple Ethereum NFT collections have lost their images due to hosting failures.
The main advantage of Ethereum NFTs is the mature smart contract ecosystem. Features like royalty enforcement, auction mechanics, and complex marketplace logic are easier to build with Ethereum's programmable contracts. Ordinals rely on more basic mechanisms, though the ecosystem is building solutions for these use cases.
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Play Free at SPUNK·BETTypes of Ordinal Inscriptions
The Ordinals ecosystem has evolved to include several distinct categories of inscriptions, each with different characteristics and communities.
PFP Collections
Profile picture collections are the most recognizable category. Projects like Bitcoin Punks, Ordinal Maxi Biz (OMB), Bitcoin Frogs, and NodeMonkes established Bitcoin's PFP culture. These collections typically feature 10,000 unique generated images inscribed individually on satoshis.
Generative Art
Some of the most valuable Ordinals are generative art pieces — inscriptions that contain JavaScript code which generates visual art directly in the browser. Because the code runs entirely from on-chain data, these pieces are truly autonomous digital art that will function as long as web browsers exist.
Text Inscriptions
Text inscriptions range from simple messages to complex JSON data structures. The BRC-20 token standard, for example, uses text inscriptions to track fungible token balances (though this has largely been superseded by the more efficient Runes protocol).
Recursive Inscriptions
Recursive inscriptions reference other inscriptions, creating composable on-chain applications. An inscription can load images, code libraries, or data from other inscriptions, enabling complex applications to be built from smaller on-chain components. This is one of the most exciting developments in the Ordinals ecosystem.
BRC-420 and Metaprotocols
Various metaprotocols have been built on top of Ordinals, extending their functionality. BRC-420 enables modular digital artifacts, while other protocols add features like on-chain royalties, collections, and more complex data structures.
Best Wallets for Bitcoin Ordinals
Not every Bitcoin wallet can handle Ordinals properly. You need a wallet that understands ordinal theory and can protect your inscribed satoshis from being accidentally spent as regular Bitcoin. Here are the best options in 2026:
Xverse
The most popular Ordinals wallet with a clean interface, built-in marketplace integration, and strong inscription protection. Available as a browser extension and mobile app. Supports both Ordinals and Runes.
Leather (formerly Hiro Wallet)
A well-established Bitcoin wallet with excellent Ordinals support. Strong developer backing and regular updates. Good choice for users who also interact with Stacks and other Bitcoin layers.
UniSat
One of the earliest Ordinals-native wallets. Features a built-in marketplace, inscription tools, and support for BRC-20 tokens and Runes. Popular among power users and traders.
Magic Eden Wallet
Magic Eden expanded from Solana to Bitcoin and offers a wallet with deep marketplace integration. Good for users who want seamless buying and selling directly from their wallet.
Critical Warning
Never use a regular Bitcoin wallet (like Electrum or Bitcoin Core without ordinal awareness) to manage Ordinals. These wallets treat all satoshis as identical and may spend your inscribed satoshis as transaction fees, permanently destroying your inscriptions.
Where to Buy and Trade Ordinals
The Ordinals marketplace ecosystem has matured significantly since 2023. Here are the main platforms where Ordinals are bought and sold in 2026:
- Magic Eden: The largest Ordinals marketplace by volume. Features collection pages, rarity tools, and a smooth trading interface. Supports both Ordinals and Runes.
- OKX Marketplace: Backed by the OKX exchange, offering deep liquidity and a large user base. Good for both buying and selling.
- Gamma.io: A creator-focused platform with no-code inscription tools, making it easy for artists to create and list their own inscriptions.
- OrdinalsWallet: An all-in-one platform with wallet, marketplace, and inscription services. Good for beginners who want everything in one place.
All Ordinals marketplaces use PSBT (Partially Signed Bitcoin Transactions) for trading, which enables trustless peer-to-peer exchanges. When you buy an Ordinal, the transaction is atomic — the Bitcoin payment and the Ordinal transfer happen in a single transaction. There is no risk of paying and not receiving the inscription, or vice versa.
Understanding Satoshi Rarity
Beyond the inscription data itself, the satoshi carrying the inscription has its own rarity level based on Bitcoin's monetary events. Casey Rodarmor defined a rarity framework that has become the standard in the Ordinals community:
| Rarity | Definition | Total Supply |
|---|---|---|
| Common | Any satoshi that is not the first of its block | 2.1 quadrillion |
| Uncommon | First satoshi of each block | ~6,929,999 |
| Rare | First satoshi of each difficulty adjustment period | ~3,437 |
| Epic | First satoshi of each halving epoch | 32 |
| Legendary | First satoshi of each conjunction (halving + difficulty adjustment) | 5 |
| Mythic | The first satoshi of the genesis block | 1 |
Inscriptions on rarer satoshis are generally more valuable because the underlying satoshi itself has collectible value independent of the inscription. An inscription on an uncommon satoshi carries a premium over the same inscription on a common satoshi.
Ordinals in Crypto Gaming
Ordinals are uniquely suited for gaming applications because they combine the permanence of Bitcoin with the expressiveness of arbitrary data. For gaming platforms, this creates several powerful possibilities.
Prize Inscriptions
At SPUNK·BET, we use Ordinal inscriptions as tournament prizes and giveaway rewards. Unlike points or tokens that exist only within a platform, an Ordinal prize is a real Bitcoin-native asset that the winner fully owns. They can keep it, trade it, or display it — the inscription lives on the Bitcoin blockchain regardless of what happens to any platform.
Achievement Badges
Gaming achievements inscribed as Ordinals become permanent, verifiable records on Bitcoin. A player who wins a tournament can prove it forever by showing their achievement inscription. No game company can revoke it, no server shutdown can erase it.
The Runes + Ordinals Stack
The combination of Runes (fungible tokens for in-game currency) and Ordinals (non-fungible inscriptions for prizes and achievements) creates a complete Bitcoin-native gaming economy. SPUNK·BET uses SPUNK runes for gameplay across 10 games and Ordinal inscriptions for special prizes. Both live natively on Bitcoin with no bridges, no sidechains, and no third-party dependencies.
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Claim Your Free SPUNK RunesWin Free Ordinals at SPUNK·BET
You do not need to buy Ordinals to own them. SPUNK·BET regularly gives away real Bitcoin Ordinal inscriptions through tournaments, giveaways, and community events. Here is how it works:
- Claim your free SPUNK runes from the daily faucet — 10,000 SPUNK every 24 hours, no strings attached.
- Play any of the 10 games: Dice, Coin Flip, Crash, Mines, Plinko, Slots, Blackjack, Roulette, Keno, or Wheel. Every game is provably fair.
- Enter tournaments when they run. Tournament winners receive Bitcoin Ordinal inscriptions from the SpunkArt collection.
- Participate in giveaways on X (@SpunkArt13). Share your wins, tag us, and earn entries.
The Ordinals we give away are real inscriptions from the SpunkArt ME collection — genuine Bitcoin-native digital art stored permanently on the blockchain. They are yours to keep, trade, or collect. No purchase is ever required to win.
Bitcoin Ordinals represent the most significant evolution of NFTs since their inception. By storing everything on the most secure blockchain in existence, Ordinals create digital artifacts that are truly permanent. At SPUNK·BET, we believe everyone should have access to them — for free.
Frequently Asked Questions
What are Bitcoin Ordinals?
Bitcoin Ordinals are a system for numbering individual satoshis and attaching data to them, creating Bitcoin-native NFTs called inscriptions. Each inscription lives permanently on the Bitcoin blockchain without requiring any sidechain, smart contract, or third-party platform.
How are Bitcoin Ordinals different from Ethereum NFTs?
Bitcoin Ordinals store all data directly on the Bitcoin blockchain, making them fully on-chain and immutable. Ethereum NFTs typically store metadata and images on external services like IPFS, meaning the actual content can disappear if the hosting service goes offline. Ordinals are secured by Bitcoin's proof-of-work network, the most secure blockchain in existence.
How much does it cost to create a Bitcoin Ordinal inscription?
The cost depends on data size and current Bitcoin fees. In 2026, a typical image inscription costs between $5 and $50 depending on fee rates. Text inscriptions are often under $1. The fee is a one-time cost — once inscribed, the data lives on Bitcoin forever.
Can I win Bitcoin Ordinals for free?
Yes. SPUNK·BET gives away Bitcoin Ordinal inscriptions as prizes in tournaments and giveaways. Play any of the 10 free games using SPUNK runes from the daily faucet. No purchase is ever required.
Where are Bitcoin Ordinals stored?
Bitcoin Ordinals are stored in your Bitcoin wallet, just like regular BTC. Any wallet that supports Taproot addresses (bc1p...) can hold Ordinals. Popular choices include Xverse, Leather, and UniSat. The inscription data is permanently stored on the Bitcoin blockchain.