The Runes protocol provides an exciting new way to create and trade on-chain tokens on Bitcoin that benefit from the Bitcoin network’s security and decentralization.
In this guide, you will learn how to etch, mint, and trade runes tokens so you can start participating in Bitcoin's new token economy.
Bitcoin Runes is a new token standard introduced by developer Casey Rodarmor that enables the creation of fungible assets on the Bitcoin blockchain.
Rodarmor, who is also the creator of the Ordinals Protocol, wanted to design a simpler protocol that would be easier to use and wouldn’t clog the Bitcoin blockchain as BRC-20 tokens did.
Runes are stored within this blockchain, leveraging Bitcoin's strong security and decentralization. Thus, they are a unique type of digital asset within both the Bitcoin economy and the broader crypto industry.
Etching and minting are two fundamental steps in creating runes tokens.
Etching initiates the token creation process by specifying attributes such as the token's name, divisibility, symbol, and other immutable properties. This step marks the beginning of creating a rune.
Once the rune is etched it is then ready for the minting process. Minting is the actual creation of the runes tokens based on the specifications set during the etching.
Now let’s look at the steps you need to take to create runes tokens.
To etch a rune, you need to create a runestone, which is a message in a Bitcoin transaction that describes the rune and its characteristics.
Here’s how to etch your own rune:
Once a rune is etched, you can set the supply of these tokens through minting. Here's the process:
And that’s how easy it is to etch and mint runes!
Sovryn DEX 2.0, powered by the Bitcoin layer 2 network Built on Bitcoin (BOB), is a decentralized platform for trading runes.
Here’s how you can buy and sell runes on Sovryn DEX:
Trading runes on Sovryn DEX over other runes exchanges provides several benefits, including lower fees, more control over tokens, and enhanced security since the platform is decentralized.
Moreover, campaign incentives like Spice and Runes Points enhance the revenues derived from trading activities, thus making Sovryn DEX attractive for both new and seasoned traders.
Runes tokens extend the possibilities of the Bitcoin ecosystem, as they allow users to create and trade fungible tokens right on the Bitcoin blockchain.
The etching and minting processes are relatively simple, allowing users to easily set their preferences for creating digital assets while leveraging Bitcoin’s security. These tokens can then be easily traded on decentralized platforms such as Sovryn DEX using the simple process described above.
Connect your wallet to the Sovyrn DEX to start trading runes tokens.