HOW TO KILL ORDINALS
I’ve been contacted by multiple laser-eye maxis, and some bitcoin developers, who tried to understand “what’s going on” and “how can we stop this”.
Here’s my advice.
  1. Start using it.
The number 1 issue you guys are facing, is that you have no idea what’s even going on.
You don’t understand what type of data is being written on-chain and why. You don’t understand what causes the fee spikes on some occasions, and not on others. You don’t understand what drives ordinals users, where they’re coming from, what they’re trying to achieve, and how this affects the shared resource that is the bitcoin network.
You don’t have to agree with them, but how do you expect to deal with the situation if you don’t even understand it?
I’m not trying to convince you that inscriptions/BRC20s/stamps/etc are not spam/scam/whatever. You can call them whatever you want. But you have to understand what they are and how they work if you have any hope of doing anything about it.
Ethereum and Solana users who got their first BTC a couple of days ago, now understand what’s happening on the bitcoin chain better than you do.
I’ll try to be nicer for the rest of this post, but right now I must get this out of the way: you should be ashamed of yourselves.
Ordinals have been living rent-free in your minds for a full year, you’ve been tweeting and podcasting about it non-stop, yet you couldn’t get yourself to spend a few minutes to try it and understand it.
WHAT IS WRONG WITH YOU???
You have to accept that your approach so far has been abysmal, otherwise there’s no way you’re going to achieve your goals.
So download an ordinals wallet, load it with ~0.005 BTC and start playing around. You’ll probably lose all of it. Your goal here isn’t to make money, it’s to understand the ecosystem and what makes it tick so that you can do something about it.
If you absolutely can’t afford to lose 0.005 BTC then maybe sit this one out, champ. You probably have more pressing issues to attend to anyway.
  1. Talk to devs from the ordinals ecosystem
Lots of ordinals teams have very strong devs. They can help you fill the gaps in your understanding. They can explain why things are the way they are, what technical issues exist, and how they think things might evolve over time.
I recommend putting your hubris on pause for this step. Don’t assume that just because they’re doing ordinals stuff, these devs are idiots. You’ll find that many of these guys understand bitcoin better than you do. Yeah, I can see your face turning red already, but it’s true.
Remember, the goal of this exercise is to learn. So that you can finally kill ordinals. So be open minded here.
I would’ve recommended to also talk to ordinals enjoyers who aren’t devs, but I know this is probably too much for you to handle…
  1. Compete When strong financial incentives are involved, it’s hard to stop people from doing things by yelling at them. After you spend time playing around with ordinals (step 1), you’re likely to agree that complaining in tweets, blogs, and podcasts is probably futile.
No amount of name calling, appeal to authority, or pseudo-moral mumbo-jumbo is going to stop people from taking advantage of what they perceive as a massive financial opportunity.
What could help, if you choose to go there, is competition.
Some of these protocols are highly inefficient. BRC20 for example blows up the UTXO set for no reason and has a lot of overhead. Degens could probably get the same benefits with a more efficient protocol, while being better stewards of the bitcoin network.
If you build alternatives that offer same or greater potential for degens while respecting their responsibility towards the network, that could improve the situation for all of us. @rodarmor is already doing this with “runes”, and there’s probably a lot more that could be done.
Build and support better protocols, and drive out the inefficient ones. At least consider it…
But there’s another form of competition you can do: improve the incentives and infrastructure for the transactions you DO want to see!
Personally I’m of the belief that there’s very little demand for non-speculative BTC payments right now. I say that based on 10 years of evangelizing bitcoin. I just don’t see that demand. And I believe that’s why the bitcoin mempools were empty prior to ordinals, and why lightning isn’t seeing a lot of usage. It’s not for any technical reason, it’s due to lack of demand by consumers. That’s the main reason why I believe ordinals are not a problem in the first place. It’s not like there are that many people who wanted to use BTC payments otherwise.
But if you disagree with me, prove it! Build better products and services that give people a reason to use BTC payments. Build better scaling solutions that stuff more economic value into L1 transactions. Better lightning solutions would help, better sidechains would help, covenants would help, rollups would help, a lot of other stuff would help.
If you think I’m wrong about the lack of demand for payments then you should build those layers and compete with ordinals. Scalable L2s would pack more economic value into each L1 transaction, allowing them to pay higher fees and drive ordinals out.
  1. Wait. “Everything is good for bitcoin”. Let the market do its thing. If you don’t want to test, learn, and compete, just wait. Eventually the market settles down and we will find out if people want to use bitcoin exclusively as the ordinals chain (unlikely) or not. I wouldn’t worry about it if I were you. As much as I think ordinals are important, I have no doubt that BTC as store of value is more important, and this stuff will figure itself out eventually.
While you wait, I recommend taking care of your mental health. Maybe get a job. Tweeting and yelling all day about how much you hate ordinals is unlikely to help, though. I know you don’t believe me. I know you think if you just yell a little harder, if you just convince a few more low IQ “plebs” that ordinals are a scam, then this will all immediately blow over. You’re wrong.
Yelling won’t help. Filtering is not possible. I know you don’t want to believe me but the evidence is clear: you’ve been yelling and promoting filtering for a full year and it didn’t help. In fact, as I’m writing this, ordinals are bigger than ever, and trading volumes are at all-time-highs.
—————
As for us, we will continue to do what we believe is the best thing we can do for bitcoin for now, which is leveraging JPEGs to accelerate bitcoin adoption and bring new capabilities and functionality to the orange chain that we love so much.
We’ve helped HUNDREDS OF THOUSANDS of people experience the magic of bitcoin for the first time in 2023, and in 2024 we’re going to shake things up even harder.
553 sats \ 0 replies \ @pakovm 2 Jan
Udi might be a turd, but this post is more level headed than people are giving it credit for, JPEGs and tokens are stupid, but they did bring economic activity to the network (this is what we wished for, a fee market) and new developers, who many will become Bitcoiners.
If there's anything that we all should understand is that trying to filter them put won't do much, the solution is to scale financial transactions and to make it retardinals don't clog up the chain. "Make the highway bigger, since people are buying cars anyways".
reply
187 sats \ 0 replies \ @OT 2 Jan
Remember kids, don't listen to UDI
reply
That is one long explanation for why you should be exit liquidity and misallocate capital but hey to each their own
reply
lol, a massive financial opportunity that has failed in all the other chains that were better built for this purpose.
Don’t waste your sats on this shit, you’ll regret it when bitcoin does 10x
reply
24 sats \ 0 replies \ @dgy 2 Jan
That's like saying you have to do hard drugs to be allowed to draw the conclusion that hard drugs are bad for your health.
reply
Let's make a drug analogy:
  1. Start using it. ==> Start using some drugs, see how it feels.
  2. Talk to devs from the ordinals ecosystem ==> Talk to your local drug dealers, the cartel and the coca farmers in Columbia. See how they feel.
  3. Compete [...with a better protocol...] ==> Set up a drug distribution infrastructure yourself that is more efficient, uses less CO2, and has an AI-optimized delivery route.
  4. Wait. ==> Accept it as is and be okay with it. Don't comment on it, don't teach your kids the dangers of it.
Is that the way to go? No, that's not the way to go. We need to point it out for what it is: a distraction, a pump-and-dump scheme, and we need to tell our friends and family to stay away from Ordinals.
reply
100%
reply
I'm pretty sure that I don't need to poop in the park myself before I can criticize pooping in the park. 💩
reply
haha
reply
i will say its a fair point to use and understand it. that's fair.
but I can't stand how he constantly downplays the fact people have and are building great tools already.
as our financial and tech oligarchs push us towards more and more mass surveillance and the digital panopticon (twitter equals your wallet, CBDC tied to identity), I'm so thankful open source tools for self-custody bitcoin and free speech exist and continue to evolve
just the simple fact Udi is tweeting this, not writing notes, to me speaks volumes
reply
How to kill Ordinals
Ignore them and let them run out of money
reply
blah blah blah, more bullshit.
Udi is a spamming barbarian
reply
"Start using it"
Sorry, no thanks. Can't be bothered
reply
Hahaha that's where I stopped reading
reply
That was one long "how dare you" Greta reaction
reply
10 sats \ 0 replies \ @xz 2 Jan
Please define 'a massive financial opportunity'
Because, so far, both the stats you give about 'helping' and the offerings seem limited, which begs the question, what are the motives for 'building'?
reply
20 sats \ 8 replies \ @ryu 2 Jan
Udi is the most passive-aggressive, grifting fag ever to make himself unwelcome in Bitcoin.
I'll say that there are legitimately useful ways to use Ordinals that are unfortunately smothered by venture-funded scum like Taproot Faggots clogging up the mempool with shitcoin-tier NFT's and other crap no one cares about.
Fuck people like him.
reply
What's the issue, exactly? Isn't this Bitcoin working as it's intended to? If people want to pay higher fees, they will pay higher fees...that's how it's supposed to work by design, I thought.
Who cares if you don't like their NFTs or any of the other shit, they're paying to put it on the chain, of what concern is it to you? Do you have this kind of attitude towards how people spend their money in their personal lives, outside of bitcoin?
Is there some kind of a code one needs to follow, in order to not be deemed a "unwelcome in bitcoin"? I thought bitcoin was supposed to be against this kind of mentality, that bitcoin is for everyone. When did this change and why?
reply
50 sats \ 1 reply \ @phygit 2 Jan
A "small" difference with the world outside of Bitcoin is that what happens with Ordinals has a direct (and big) impact on the whole network.
In the fiat world, millions of people can spend has much they want on diamonds, ugly art, or dildos, it will not affect how much fees you pay for your milk at the grocery store...
So yes, Bitcoin is working as supposed, but it also means that it's not working for many users who can't afford to make onchain payments anymore, just because of Ordinals craze.
reply
Sure, but let's not pretend many people are actually using Bitcoin for on-chain payments. I would much prefer that people were, but it's not the case. In fact, many people on this very site have told me that they want the network to be more expensive for people to transact on. Or they say to "go use lightning" if you want cheaper transactions.
Am I wrong or somehow misunderstanding how Bitcoin works, in thinking that even if ordinals were to go away completely, Bitcoin would still be dealing with these same problems of congestion and expensive transactions when met with an increase of people transacting on-chain?
Seems like this has brought to the forefront of people's attention, the issues with scaling L1 bitcoin or providing a better alternative to lightning for onboarding the people we expect to be using Bitcoin for a true future economy. I think a lot of the effort that's been spent attacking ordinals and the people engaging in it (especially when you can encode data into the public keys themselves on-chain, encoded as multi-sig outputs - https://github.com/mikeinspace/stamps/blob/main/BitcoinStamps.md - which would take up even more space than Ordinals, btw) would be better spent focusing on building viable scaling solutions for bitcoin so that this isn't even an issue anymore.
Some of the people building out alternatives to lightning network are coming up with very interesting stuff, like Chainway who are creating a true trustless, programmable scaling layer by way of a ZK rollup - https://medium.com/@chainway_xyz/a-sovereign-zk-rollup-on-bitcoin-full-bitcoin-security-without-a-soft-fork-ca0389a0b658 - they are just one several such projects to keep an eye on, IMHO.
reply
Arbitrary data is at a 75% discount to tx data. The chain will be used according to how it is priced.
reply
This is the exact problem. The incentive model with fees is off. The use case for inscriptions are to burn 100% of fees. The use case for payments are to spend as minimal fees for an economical transfer. These will always be in conflict, and burning 100% of your sats for fees is not the mode that Bitcoiners desire from the chain.
It cannot coexist, because the spammers will always outspend the transactors, as they WANT to burn all their sats. This is a big problem.
reply
It is interesting to see how this point, and in fact this whole issue, has evolved over the last 8 months. Interesting to see how perspectives and incentives change... and have changed and that fees have returned to 2-4 sats / v byte. And frequently 2 sats / v byte. Those who said the ordinals people / jpeg people would run out of money eventually... were probably correct.
reply
Half of the UTXO set is now economically unspendable regardless of fees.
reply
True (I don't know if it's half but it's a large percentage). However the mass 1 input to many 300 sat outputs continue, they are still there in every block, if fewer of them.
I suppose they are some kind of token standard right now but i'm not sure. On ordpool they appear as xyxyxz.btc over and over (just with different numbers).
I suppose that after the 'mint' is over and speculators move to the next token... the minter can decide to consolidate at any cost and try again, or just abandon the utxos completey. However they are leaving potentially hundreds of $$ of bitcoin on the table though in many small utxos with every block... so I'm not sure how it is economically sustainable for them. When they run out of buyers... they just run out of money even at today's low fee rates.
reply
546 sats = 546 sats Don't fool me that the 546 sats has a higher value than the 546 sats.
reply
Mossad's tip of the day.
reply
So download an ordinals wallet, load it with ~0.005 BTC and start playing around. You’ll probably lose all of it. Your goal here isn’t to make money, it’s to understand the ecosystem and what makes it tick so that you can do something about it. If you absolutely can’t afford to lose 0.005 BTC then maybe sit this one out, champ. You probably have more pressing issues to attend to anyway.
No.
Yes, I have more pressing issues.
I'd rather earn sats and send sats to people I value than to do the dumb shit I was doing to earn yeild. Knowledge of loss has already been accumulated.
reply
220 sats \ 0 replies \ @Eobard 2 Jan
deleted by author
reply