Introducing Vinci Upgrade V2.0

7 min readFeb 6, 2024

Greetings, Vinci community!

Today, we’re thrilled to announce a pivotal upgrade to our project: Vinci Protocol V2.0. This exciting evolution marks a strategic shift to align with the dynamic landscape of the blockchain ecosystem and deliver solutions that directly address the market’s needs.

While the Vinci Protocol initially focused on boosting liquidity through lending and hedging volatility with NFT-backed derivatives, the market landscape has shifted significantly. Recognizing this, we’ve chosen to pivot towards providing cutting-edge tools and data services for inscription and NFT projects. The explosive growth and immense potential of the inscription and NFT space drove this decision.

Vinci protocol is designed to offer a comprehensive set of developer tools and data services for inscription and NFT projects. With Vinci, developers can integrate inscription and NFT solutions quickly and cost-effectively.

Our solutions include finance, oracle, governance, and marketplace, providing everything developers need to create inscription and NFT applications in minutes.

Ordinals NFT and Traditional NFT

In January 2023, Casey Rodarmor introduced the Bitcoin Ordinals protocol, leveraging a vulnerability in Taproot. By allowing users to record different types of metadata (such as images, videos, and PDFs) on satoshis, they can directly create and store Bitcoin-based NFT on the Bitcoin network. Ordinals represent a novel way of storing Bitcoin transaction information and thus made its first breakthrough in the NFT space. Through its protocol features, Ordinals NFT achieves the permanent storage of digital content on-chain.

This is a significant breakthrough for Bitcoin, as Bitcoin users can now store digital assets on the Bitcoin blockchain, a capability previously exclusive to other blockchains such as Ethereum, Polygon, Flow, and others. Bitcoin NFT brings digital assets to the Bitcoin network, enabling their creation, storage, and exchange in the Bitcoin ecosystem.

Unlike Traditional NFT, Ordinals NFT is Always Stored on the Bitcoin blockchain

Compared to traditional NFT, one significant advantage of Ordinals NFT is decentralized and higher security standards. Thanks to the cryptographic properties of Bitcoin.

Ordinals allow metadata to be recorded on satoshis, ensuring that Ordinals NFT is consistently stored on the Bitcoin blockchain. This core feature makes them more decentralized and secure. In contrast, most NFT types currently in the NFT market are stored on decentralized applications using self-executing smart contracts like EVM. This reliance on contract-encoded rules and logic makes traditional NFTs dependent on the contract layer.

Ordinals NFT will Offer Increased Liquidity

Many users who have faith in Bitcoin and Ethereum are early adopters and Web3 enthusiasts. It can be said that the Bitcoin network is one of the earliest and most influential blockchain networks. Bitcoin’s volatility continues to impact market dynamics. With digital assets stored on Bitcoin, users can link their artwork to the most liquid crypto assets in the market. Other NFT-compatible crypto assets, constrained by the security features, robustness, and market value of their respective platforms, face concerns that limit their ability to enjoy the same level of liquidity.

The Immutability and Security of Ordinals NFT

Ordinals NFT inherit the simplicity, immutability, security, and persistence of Bitcoin. The inherent properties of the Bitcoin protocol, such as cryptographic hashing and consensus mechanisms, make transactions immutable.

Each block in the Bitcoin blockchain contains the previous block’s hash, creating a tamper-resistant blockchain. Therefore, once a transaction is confirmed by most nodes on the Bitcoin network, it becomes a permanent record in the distributed public ledger. Bitcoin users benefit from the minimal opportunity for fraudulent transactions or alterations to existing transactions.

Ordinals NFT is Even More Rare

The maximum supply of Bitcoin is 21 million, and miners obtain newly minted Bitcoins by performing computationally intensive operations and creating new Bitcoin blocks on the blockchain. The block rewards halve approximately every four years. Every 2016 blocks, or roughly four weeks, the cost and difficulty of creating new blocks increase. The difficulty level ensures a stable creation rate of new blocks over time. Therefore, to create an engraving based on Ordinals, a user must perform a Bitcoin transaction and hold the content on the blockchain.

In contrast, other NFTs have no quantity limit and can even be considered infinite in production. NFT on Ethereum is operated using the ERC721 contract. Once a contract is created for a transaction, it “can define an arbitrary number of NFT within that contract.” It means a single transaction can hold an unlimited number of NFTs. The contract doesn’t need to store data but points to off-chain data.

Ordinals NFT is expected to excel in preserving their value compared to other NFTs, given the supply restrictions imposed by the Bitcoin network.

While Ordinals NFT has garnered frenzied market demand and experienced volatile market conditions, developers, especially those exploring the NFT space, need to be aware of the challenges the Bitcoin network faces. These challenges include low wallet coverage, complex on-chain operations, limited block space for engravings, and NFT. Projects rushing into the Ordinals NFT market still face uncertainties and risks.

What is Vinci Protocol V2.0?

Vinci Protocol 2.0 is designed to offer a comprehensive set of developer tools and data services for inscription and NFT projects. With Vinci, developers can integrate inscription and NFT solutions quickly and cost-effectively. Our solutions include finance, oracle, governance, and marketplace, providing everything developers need to create inscription and NFT applications in minutes.

Diverse Inscription Possibilities

With Vinci v2, developers can create, manage, and track ordinals NFT orders, pay with Lightning or on-chain Bitcoin, and receive inscriptions on specified addresses. Whether you’re looking to securely store files, texts, or images on the blockchain, Vinci provides seamless access to these features. Vinci Inscription-As-A-Service allows you to inscribe up to 10,000 files per order, efficiently optimize images for size, and tailor fees to match your preferences.

Ordinal NFT Marketplace

Vinci Marketplace is built on the premise that every satoshi has a story. Our platform empowers artists, creators, and collectors to tell these stories by inscribing digital content directly onto satoshis, turning them into one-of-a-kind NFTs. From digital art and historical documents to unique codes and literary works, Vinci Marketplace provides a space where these inscriptions can be easily traded, auctioned, and showcased to the world.

Vinci Marketplace also provides a suite of robust APIs designed to empower developers, creators, and businesses to integrate seamlessly with our Ordinal NFT marketplace. These APIs open up a realm of possibilities for enhancing applications, creating unique user experiences, and building innovative tools around the burgeoning ecosystem of Ordinal NFTs.

Marketplace API collection is crafted to provide granular control and broad functionality across the Satoshiverse platform, ensuring developers have the tools to fetch data, execute transactions, and interact with the marketplace. Key components:

Inscription Discovery: Search and retrieve detailed information about inscribed satoshis, including images, texts, and metadata. Filters allow for precise queries based on categories, creators, ordinal numbers, and more.
Transaction: Facilitate the secure buying, selling, and transferring of Ordinal NFTs directly from your application. This includes creating listings, initiating purchases, and tracking transaction statuses.
User and Creator Profile: Manage and retrieve profiles for artists and creators, including galleries, bio, and listed NFTs. This API enables applications to present rich, creator-focused content.
Market Data: Access real-time and historical market data, including prices, volume, and transaction history of inscribed satoshis. Ideal for analytics, reporting, and investment decision-making.
Event and Webhook: Receive real-time notifications about marketplace events, such as new inscriptions, transactions, or listings updates. This API is essential for applications that require immediate updates.

The advent of Ordinals NFTs and the launch of Vinci V2 signal a transformative phase in the digital assets space, blending the unmatched security and liquidity of Bitcoin with the innovative potential of NFTs. As this new era unfolds, the opportunities for creators, developers, and investors are boundless, promising a future where digital assets are more secure, liquid, and valuable than ever before.

What’s Next?

We’re actively developing and integrating new features into Vinci Protocol V2.0 to provide developers with the most advanced and user-friendly tools. We invite you to explore our documentation, join our developer community, and stay tuned for upcoming announcements. Let’s unlock the incredible potential of inscription and NFTs with Vinci Protocol V2.0!

Join the Vinci Revolution!

References:

https://docs.ordinals.com/introduction.html
A Comparison Between Ordinals NFT and Traditional NFT https://medium.com/@OneBlockplus/a-comparison-between-ordinals-nft-and-traditional-nft-2720da7efc81
https://unisat.io/
https://ordinalscan.net/
https://gamma.io/
The Concept of BRC-20 and ARC-20 Tokens https://medium.com/@superexnigeria/the-concept-of-brc-20-and-arc-20-tokens-f718b44d5455
https://docs.atomicals.xyz/
https://docs.ordinalsbot.com/getting-started/welcome
https://blog.ordzaar.com/the-top-5-bitcoin-ordinal-marketplaces-92440c0af475
https://ordinalsbot.medium.com/the-ordinalsbot-api-is-powering-the-ordinals-ecosystem-fba24bd5e97e

About Vinci Protocol

Vinci Protocol 2.0 is an Inscription and NFT Infrastructure to Empower Web3 Builders.

Vinci Protocol is the first cross-chain suite of developer tools and data services supporting BRC20.