The crypto market is preparing for another season of bullishness with contributions from various factors. Although Bitcoin has been a main contributor to the crypto market since its inception, Bitcoin in 2023 has been something else. The advent of ordinal inscriptions and BRC-20 tokens elevated the image of Bitcoin as a more ecosystem-worthy network than a digital gold savings account. The latter, though, has conquered the center stage of most crypto forums and podcasts currently. We have seen them in an earlier blog, and we will focus on an important instrument based on BRC-20 tokens – BRC-20 wallet development, and its importance in today’s crypto market.
Table of Contents
- The Current Market of BRC-20 Tokens
- What are BRC-20 Wallets?
- How Does a BRC-20 Wallet Work?
- Benefits of Developing BRC-20 Wallets
- Why is BRC-20 Wallet Development Better than Others?
- How to Create a BRC-20 Wallet?
- How Should You Use BRC-20 Wallet Development for Your Business?
- Factors Determining the Cost of Building a BRC-20 Wallet
The Current Market of BRC-20 Tokens
As of August 2023, the number of unique BRC-20 token tickers is nearly 40,000 – a staggering number given the concept went live only months ago. BRC-20 tokens make up a market capitalization nearing 1.2 trillion dollars, breaking the accusations these tokens will be yet another rug-pull technology.
Such encouraging statements make BRC-20 tokens a business base worthy of consideration in the coming future. A figure exceeding 40 million dollars in everyday trades is not something we see in the crypto space very often. Compared to two months ago, BRC-20 tokens now have increased utilities enabled by intelligent Bitcoin developers.
What are BRC-20 Wallets?
A BRC-20 wallet is an application used for storing private keys to access BRC-20 tokens on the Bitcoin network. These wallets are special compared to other Bitcoin wallets as these should be compatible with the Taproot upgrade. Such compatibility is important as BRC-20 tokens are a result of changes made to the Bitcoin network after the Taproot upgrade.
Currently, there are many BRC-20 wallet solutions available for users to utilize, although the market is very much democratic and evolving for new projects to explore. Prominent wallets include Ordinals Wallet, Unisat, Bitkeep, Hiro Wallet, OKX Wallet, Sparrow Wallet, and XVerse Wallet.
How Does a BRC-20 Wallet Work?
While BRC-20 wallets might look the same as any other crypto wallets from the outside, the inner workings of these solutions drastically differ. We will see the process to hold and transfer BRC-20 tokens using a BRC-20 wallet app in the steps below.
- Create your account in a BRC-20 wallet. Multiple options are available, and most work across platforms.
- Purchase your favorite BRC-20 crypto token from an exchange listing it using the wallet account as the login credential.
- If you want to create BRC-20 tokens, use the minting portal to inscribe these tokens on the network.
- Transferring BRC-20 tokens to another person is a comparatively easy process. It is as simple as entering the amount to be sent and the recipient’s wallet address.
Note that BRC-20 wallet applications simplify how we create, store, and trade BRC-20 tokens. It is because these apps offer user interfaces and experiences similar to crypto wallets we are accustomed to removing difficulties associated with handling these tokens. That is one of the reasons why creating BRC-20 wallets is a brighter business option at the moment; the other reasons we will see in a later section.
Benefits of Developing BRC-20 Wallets
Developing BRC-20 wallets brings a lot of benefits for both businesses and users. Such mutual advantages tend to elevate the prominence of BRC-20 tokens in the global Web3 market space. The below points present the benefits of BRC-20 wallets in detail:
- BRC-20 wallet applications provide an opportunity for users to store and manage these unique tokens, which is impossible with other wallets.
- These wallets present reliable security measures that safeguard BRC-20 tokens from vicious attacks. These measures are implemented in both the user-end and back-end.
- Using these wallets, people can easily create BRC-20 tokens without any involvement of external entities, redefining how crypto projects take off in the era of the Bitcoin ecosystem.
- Building BRC-20 wallets can be vital for users to access decentralized applications (dApps) such as exchanges, launchpads, games, and marketplaces, with utilities ramping up each day for BRC-20 tokens.
- Another benefit of BRC-20 wallets is they expose investors to a new fungible token class based on Bitcoin that was a distant dream just months ago. As users flock in, these apps give them the license to explore this emerging trendy market.
Why is BRC-20 Wallet Development Better than Others?
As a business option, BRC-20 wallet development is better than others in multiple ways. The business model offers numerous plus points that give it the worth it deserves. We will see some points that make BRC-20 wallets a better business model than other wallet types.
- Developing BRC-20 wallets provides unique opportunities for businesses trying to tap into the current crypto market. With BRC-20 tokens finding new use cases and enthusiastic users, wallet apps supporting them can only benefit mutually.
- These Bitcoin-based wallets can also be enabled to store and manage $BTC, which expands the functionality for them. This allows users to hold and transact Bitcoin and BRC-20 tokens simultaneously.
- Utilizing the BRC-20 wallet business model can be advantageous for startups looking at the growth potential of these tokens. A wallet can be a great starting point, and future business ventures can sprout out from it, easing user experience.
- Since BRC-20 wallet interfaces ease how people interact with these new-gen tokens, such as creating and transferring them, they can be instrumental in onboarding users to an emerging branch of the crypto ecosystem.
- With these benefits, creating a BRC-20 wallet becomes a plausible option, and the process of building one becomes easy, too, with the steps described in the next section.
How to Create a BRC-20 Wallet?
As a business, if creating a BRC-20 wallet is your idea, we have got you covered. The process becomes simple with a step-by-step approach our seasoned professionals use which is outlined below:
- Form the conceptual model for your BRC-20 wallet application by choosing features, technological stacks, and utilities. Frame the official documentation after insights are gathered at the end.
- Now, design the wallet’s user interface and experience using appropriate frameworks. Put in practice good UI/UX principles to derive desired results and test the prototype for approval.
- After the front-end prototype gets approved, we go ahead with integrating the BRC-20 wallet with the blockchain (Bitcoin, in our case) using the necessary programming. We ensure to utilize the Taproot upgrade for this purpose to ensure compatibility with BRC-20 tokens.
- Now, we test the BRC-20 wallet app for deficiencies and resolve them if any arise. We use automated and manual test cases multiple times to ensure most errors are eliminated.
- Then we go about launching the application for public use.
- At this juncture, you should consider partnering with applications where BRC-20 tokens are utilized for maximum reach. You should also promote it in the crypto space to garner a user base.
- After launch, you should go about maintaining the wallet and releasing upgrades about current market trends. Our team can assist you in these post-launch activities.
- In case you need professional assistance during the marketing phase, our seasoned marketers can offer top-notch support to promote your BRC-20 wallet.
How Should You Use BRC-20 Wallet Development for Your Business?
If you are an entrepreneur thinking of how to use a BRC-20 wallet for business, there are truckloads of options available to you. Here we provide use cases for BRC-20 tokens that are either currently in use or under development:
- Asset Tokenization
- Peer-to-Peer (P2P) Payments
- Decentralized Finance (DeFi) Operations
- Utility Tokens
- Crypto Fundraising Tools
While these use cases do not directly involve BRC-20 wallet development, accessing them is facilitated by these wallets. When portals providing these use cases enable wallet integration, your business can have the golden opportunity to become an industry leader when it comes to BRC-20 wallets.
Factors Determining the Cost of Building a BRC-20 Wallet
While we cannot tell you the exact cost of building a BRC-20 wallet without knowing the specific needs you might have, we can provide you with the factors that dictate the cost of launching one. The below points become essential when considering the cost of creating a BRC-20 wallet:
- Size of the BRC-20 wallet application
- Design of the wallet
- Features incorporated in the wallet app
- The size of the team building the wallet
- Hours spent in creating the wallet
- Technological stack used for the process
- Promotional expenses
With our experts, you can expect a BRC-20 wallet that satisfies your requirements while incurring relatively economical costs.
Therefore, we have seen everything we should know about BRC-20 wallet development as a business option. The market is still evolving, exhibited by the new use cases that come up now and then, which makes this business model a bright prospect. If you are curious about launching a BRC-20 wallet application, now is the perfect time to begin, and Blockchain App Factory is the ideal partner for your venture! Schedule a virtual session with one of us today to take your idea forward!