Sqts (Ordinals): What Is It and How Does It Work?

What Is Sqts (Ordinals)?

Sqts is an ant-themed meme coin on the Bitcoin blockchain. It was launched in 2023. Unlike traditional cryptocurrencies, Sqts is built on the BRC-20 token standard, an experimental framework introduced in early 2023. This standard allows for the creation and transfer of fungible tokens using the ordinals protocol on Bitcoin, marking a significant departure from the more common Ethereum-based ERC-20 tokens.

The concept behind Sqts is deeply rooted in community and symbolism. It's designed by the "Ant Community," a group that aims to unite users under a common goal, metaphorically represented as "gathering all ants together to defeat the elephant." This vision is encapsulated in the token's name, Sqts, an acronym for Solidarity, Quest, Thrive, and Success. Each element of the acronym reflects the community's values: small but smart, quick and expansive, embodying the spirit of resilience and forward-looking positivity. The "ts" suffix in "ants," "sats," "rats," and "cats" not only represents their connection as brc20 animals but also pays homage to the spirit of Satoshi Nakamoto, the pseudonymous creator of Bitcoin.

To learn more about Bitcoin Ordinals, check out our article: What Are Bitcoin Ordinals? Everything You Need to Know About Bitcoin NFT.

Resources

Official Website: http://sqts.io/

How Does Sqts Work?

Sqts operates on the BRC-20 token standard, which is fundamentally different from other token standards like ERC-20, TRC-20, or BEP-20. BRC-20 tokens, including Sqts, are minted and transferred via the ordinals protocol on the Bitcoin blockchain. This protocol allows for the inscription of data, such as JavaScript Object Notation (JSON), onto satoshis, the smallest unit of Bitcoin. These inscribed satoshis, known as ordinals, are unique and non-fungible, although the tokens themselves are fungible and interchangeable.

The creation and transfer of Sqts tokens are simplified compared to other token standards that rely on complex smart contracts. This simplicity makes Sqts more accessible to users without extensive technical knowledge. However, it's important to note that the BRC-20 standard, including Sqts, is still experimental and lacks the smart contract functionality found in other blockchain ecosystems. This limitation means that while Sqts can be used for token minting and transfers, it may not support a broader range of applications or complex features.

Despite these limitations, Sqts benefits from the security and robustness of the Bitcoin blockchain. The decentralized nature and proof-of-work consensus mechanism of Bitcoin provide a secure foundation for Sqts transactions. However, the reliance on the Bitcoin network also means that Sqts is subject to the network's inherent constraints, such as lower scalability and potentially slower transaction speeds.

What Is the Tokenomics of SQTS Token?

SQTS has a total supply of 2100 trillion tokens. As a BRC-20 meme coin, it is a symbol of community and collective effort. The token's design and philosophy are geared towards uniting users under a common cause, with a focus on community-driven development and shared success. SQTS has garnered significant attention, boasting a vibrant community of over 3,000 holders as of January 2024.

SQTS is designed as a 100 percent mintable token, making it an attractive option for trading and investment, particularly for those interested in meme tokens. SQTS has become a symbol of this spirit, with increasing support from various groups within the network. However, like any investment in the volatile cryptocurrency market, the benefits and risks associated with SQTS tokens should be carefully evaluated.