What are Doginals and drc20? A Beginner’s Guide to Dogecoin NFTs
TL,DR
- Activity on the Dogecoin network is rising and all due to Doginals.
- Doginals are pieces of $DOGE inscribed with rich data (like a dollar bill with a piece of art on it).
- Doginals aren’t tokens, and there aren’t smart contracts involved.
- drc-20 is adopted as the official token standard for Doginals, ensuring a common language and interoperability in the ecosystem.
- Doginals faced a significant challenge in indexing due to Dogecoin’s variable block rewards, which was overcome.
- The challenge was solved by fetching all the random block rewards through a script.
- The Doginal Explorer was launched as a crucial tool for navigating the Doginal ecosystem.
- The future of Doginals is going to be fun and exciting.
Let’s talk about Dogecoin’s answer to Non-Fungible Tokens (NFTs) — the Doginals, our very own “Dogecoin NFTs”. Activity on the Dogecoin network is rising and all due to Doginals, the hype has gone from #brc20 to #drc20.
Before we start, let’s take a bite out of a familiar analogy:
Imagine a one-dollar bill. It’s completely fungible with other one-dollar bills but has a serial code, which allows us to identify each dollar bill as unique. Now there is an artist creating a piece of art on that dollar bill. While the bill itself is still worth a dollar, the art on it could potentially be priceless…
This is essentially what a Doginal is, a Shibe (small amount of $DOGE) with its own unique value (inscription). Now, let’s dig a bit deeper to unearth this buried treasure.
What are Doginals?
Doginals are fragments of Dogecoin, individual “Shibes” on the base Dogecoin network, tagged with rich data like text or an image. The new Doginals drc20 standard allows Dogecoin nodes to inscribe each Shibe with data, creating a Doginal. The term “Shibe” mirrors the Bitcoin equivalent “Satoshi” or “Sat”.
The Doginals protocol numbers Shibes, providing each Shibes a unique ID and tracking them through transactions. This is how Doginals got their name. Shibes are numbered based on their mining and transfer order. At the protocol level, Shibes are still fungible and always worth one Shibe. However, like the dollar bill, a Doginal’s true value depends on its inscription.
How do Doginals differ from NFTs?
Doginals, like NFTs, are digital assets created on a blockchain. While they share this basic definition, some key differences set them apart:
No Smart Contracts Required
Unlike NFTs, which are typically made using smart contracts on blockchains like Ethereum, Solana, or BNB Smart Chain, Doginals are directly inscribed onto individual Shibes and then included in blocks on the Dogecoin blockchain. They do not require a sidechain or separate token and thus inherit the simplicity, immutability, security, and durability of Dogecoin.
Doginals aren’t Tokens
NFTs are minted as entirely new tokens, whereas Doginals are fragments of Dogecoin with data inscribed directly onto the Dogecoin blockchain.
Doginals Store Data On-Chain
Doginals store their data entirely on-chain, making them immune to external attacks unlike NFTs, which often reference files not hosted on the blockchain.
Lost Inscriptions
Like NFTs, Doginals can be lost if you lose access to your wallet. Doginals can also be inadvertently spent. Hence, it’s crucial to use dedicated Doginal wallets.
How are Doginals created?
The creation process, often referred to as mining, minting, or inscribing Doginals, is similar to that of Bitcoin ordinals but adapted for the Dogecoin blockchain. While this process may lack intuitive tools currently, many projects are working on simplifying this process and rumors tell, that Doge Labs is going to release a Minting Service soon.
The race to the official Doginal standard
The whole community working based on the same standard is the most important for a thriving ecosystem, since otherwise there is very little to relay on. The Bitcoin ordinal community settled on one mutual standard called brc-20. For Doginals, we follow the similar path, the drc-20 standard. But hold your barks, because the journey to this point was quite an adventure.
Several projects initiated multiple standards before we had a fully functional indexing solution. Like a pack of puppies, each was trying to run in its own direction. These standards were incomplete, not accepting other projects, and lacking interoperability.
At Doge Labs, we didn’t want to add another directionless puppy to the mix. Instead, we decided to build our system in line with the established practices of the Ordinals and the brc-20 ecosystem. If other projects decide to build their own indexing solutions and follow the brc-20 path, they’ll arrive at the same point as us. This harmony is the essence of a shared standard.
So, it’s not just a wagging tail but a fact that there can’t be another solution other than drc-20 based on brc-20 as the official standard for Doginals.
You can dig up the full details at: https://docs.drc-20.org/
The indexing challenge on the Dogecoin network
To get everyone up to speed, an indexer assigns IDs to Shibes, the tiniest units of Dogecoin, based on the order they were mined and transferred. This gives each Shibe a virtual ID, making them non-fungible by identity while still keeping their value fungible.
Now, building a Doginal Indexer is no walk in the dog park. Why? In the early stages of Dogecoin’s development, specifically within the first 145,000 blocks, the block rewards, also referred to as subsidies, were not uniform in amount. Neither did they follow a halving system commonly used in other cryptocurrencies. Instead, each block came with a distinct reward. This variability can be easily demonstrated by comparing the rewards of any two blocks within this range, which would show completely different values.
For the effective operation of the ord indexer, it is crucial to have accurate knowledge of the creation and circulation of Shibes, the smallest unit of Dogecoin. The ord indexer is responsible for maintaining a comprehensive history of these Shibes being transferred, making it vital for it to know at which blocks and how many elons have entered circulation.
Without a working Indexer you can inscribe Doginals, but not transfer them.
How the indexing challenge was solved
To address this challenge, we developed a solution involving fetching all the random block rewards through a script. We collected the block rewards data from the blockchain and inputted them into our system. This was followed by integrating this data into our ord fork. With this approach, we were able to ensure that the ord indexer is working with the real Shibes numbers. This guarantees the accurate tracking of the transaction history and circulation of Shibes, thereby enhancing the overall efficiency and reliability of our system.
A fully working indexing solution let loose the first crucial tool for the Doginal ecosystem to thrive — The Doginal Explorer. It’s like a scent trail that every dog can follow.
The new drc-20 Explorer is the faithful guide to all things Doginals. It keeps up with the latest mints, token movements, and overall activity in the Doginal universe, all in real time. It’s like having your nose in every corner of the park!
But see for yourself: https://drc-20.org
Please be aware: Our indexer has not undergone an audit. As a result, it may contain bugs, and consequently, inscription transfers might be invalid. Use it at your own risk. We are committed to continually improving the quality of our indexer over time.
The near future of Doginals
The future of Doginals is looking brighter than a sunny day at the park!
Make minting of Doginals easy
First on our walk is making the minting of Doginals as easy as fetching a ball. We’re sniffing out all the knots in the current process to ensure everyone, from the laziest loungers to the most energetic puppies, can mint their own Doginals without a hitch.
Enable trading of Doginals
Next, it’s time to enable trading of Doginals. Just like how every pup loves to play and trade their toys, our goal is to make the exchange of Doginals as smooth and enjoyable. It’s the perfect moment for DEXs and other marketplace solutions to step up their game and provide a platform for this fun exchange. It’s about time we had our own doggy marketplace!
Community
And with the technical foundations set, it’s time for a whole litter of exciting projects and having a good time with a growing community.
So, bark your calendars, Dogecoin fans! The future of Doginals is here, and it’s paw-some. Don’t miss out on the chance to be early to this exciting journey in the Dogecoin universe.
Disclaimer: Nothing presented here should be construed as financial advice. This blog post is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. There are always potential errors in these articles, and everyone should act with care — especially with tech as new as Doginals. Please be careful and always do your own research.
By engaging with drc-20.org and Doge Labs products, you agree to our Terms of Use: https://drc-20.org/legal/terms
About Doge Labs
Doge Labs is the leading infrastructure provider in the Dogecoin Ordinals (or ‘Doginals’) ecosystem. We are most well known for establishing the first Ordinals standard on Dogecoin, creating the first automated marketplace on Doge, and operating the number one Dogecoin wallet on Chrome.
With our marketplace, wallet, explorer, inscription tool, and launchpad, we offer the most advanced inscription ecosystem outside of the Bitcoin network. Our suite of products is designed to meet the needs of both consumers and developers, delivering a practical solution for Dogecoin Ordinal participants across various verticals.
Doge Labs also developed and operates the original Ordinals Theory-compliant Doginals indexer, solved the PSBT issue on Doge through our Partially Signed Dogecoin Transaction (PSDT) tech solution, and is the inventor and operator of Dogecoin’s primary Ord, Wonky-ord.dogeord.io.
Our goal is to make Ordinals accessible to the masses. We’ve ensured our ecosystem is turn-key ready, anticipating the moment when institutional-grade entities will decide to engage with inscriptions.
At Doge Labs, we are dedicated to shaping the future of Dogecoin Ordinals through user-friendly experiences, powerful tools, and innovation.
