The emergence of Ordinals has redefined Bitcoin’s long-held narrative as a simple peer-to-peer electronic cash system. By enabling the inscription of digital artifacts directly onto Bitcoin’s blockchain, Ordinals unlocked a new era of on-chain creativity and utility. Building on this innovation, the Runes protocol—also created by Casey Rodarmor—introduced a streamlined, efficient model for fungible token issuance on Bitcoin. These protocols have sparked a grassroots revolution in token creation and distribution, reshaping how developers and users interact with the world’s most secure blockchain.
This deep-dive conversation between OKX Web3 Wallet’s Bitcoin ecosystem team and Casey Rodarmor, the visionary behind both Ordinals and Runes, explores the evolution of Bitcoin’s layer-one capabilities, the viability of Bitcoin Layer 2s, and the long-term trajectory of Bitcoin as digital gold.
The Rise of Ordinals and Runes: Exceeding Expectations?
Q: Have Runes and Ordinals exceeded or fallen short of your expectations?
Casey: To be honest, I haven’t been tracking adoption rates, growth metrics, or market valuations—I’m not a promoter or speculator. My sole focus when designing Ordinals, inscriptions, and Runes was to build the cleanest, most robust protocols possible. Adoption? That’s up to the users. My job is to fix bugs and add features when necessary.
Some people complain about long ticker symbols in Runes, but I don’t see it as an issue. Short tickers will be unlocked gradually over the next four years—patience is key.
Where Runes truly shines is usability. Developers and users consistently tell me it’s simpler and more reliable than alternatives. Unlike BRC-20, which requires two transactions for a transfer, Runes completes transfers in a single transaction. It launched with a full open-source implementation: wallet support, indexing tools, and a browser—making it a complete, production-ready protocol from day one.
👉 Discover how seamless Bitcoin asset management can be with advanced Web3 tools.
Where Are We in the Inscriptions and Runes Narrative?
Q: What stage is the inscriptions and Runes narrative at? How will Bitcoin regain attention in the next phase?
Casey: Ordinals, inscriptions, and Runes are now in the hands of the community. Future progress will likely come from core Bitcoin improvements rather than external layers. Remember: Bitcoin leads the market cycles. Accumulate wisely, stay patient.
One of the most significant outcomes has been the creation of a sustainable fee market. Even if interest in inscriptions fluctuates, they’ve already proven valuable in reducing selling pressure on Bitcoin by giving holders new utility for their UTXOs.
OKX Web3 Wallet Team: The inscriptions space introduced a fair launch model that empowered retail participants and brought unprecedented attention to Bitcoin’s ecosystem. According to OKLink data, miner revenue from transaction fees has consistently exceeded 10% since last December—directly benefiting network security through increased fee income.
With aligned incentives across developers, miners, and users, we’re entering a new phase of exploration and innovation in Bitcoin-native assets.
Do Other Blockchains Need Inscriptions or Runes?
Q: Is there value in replicating inscriptions on other blockchains?
Casey: Most inscriptions on other chains are just copies of BRC-20. Given those networks already have native token standards like ERC-20, these clones seem redundant. Why reinvent the wheel?
For developers interested in building on Bitcoin, my advice is clear: unless you're deeply committed to working within Bitcoin’s conservative upgrade model, build without altering the base layer. Leverage existing infrastructure instead of forcing compatibility.
Is Bitcoin Ready for Layer 2 Solutions?
Q: You’ve expressed skepticism about Bitcoin L2s. Does Bitcoin even need them?
Casey: With one exception—the Lightning Network—every other Bitcoin Layer 2 is a castle in the air. None have meaningful user adoption, solid implementations, or a clear path to success. Until they do, ignoring them is the rational choice.
Lightning works because it aligns with Bitcoin’s philosophy: trust-minimized, decentralized, and built incrementally. Most other L2 proposals rely on complex trust assumptions or unproven cryptography. That’s not resilience—that’s risk.
OKX Web3 Wallet Team: While we acknowledge Casey’s caution, we also see growing demand for scalability. High activity around new asset protocols has caused network congestion, impacting transaction speed and cost for all users. This has fueled interest in Bitcoin L2 solutions like B² Network and Merlin Chain.
We’re actively monitoring various technical approaches—from federated sidechains to zero-knowledge variants—but agree the space remains early. True success will require security, decentralization, and actual user traction.
👉 Explore how next-gen Bitcoin layers are evolving beyond hype.
Risks of New Protocols and Scaling Efforts
Q: Could new asset protocols or scaling solutions introduce risks to Bitcoin?
Casey: The biggest concern is MEV (Maximal Extractable Value). If any protocol enables Ethereum-style automated market makers (AMMs) on Bitcoin, it could open the door to harmful MEV extraction—something we’ve already seen distort incentives on other chains.
I take this seriously. Bitcoin should remain a neutral settlement layer, not a playground for front-running bots.
OKX Web3 Wallet Team: We’ve observed firsthand how surges in inscription activity can congest the network. During peak periods, average fees spiked significantly, affecting everyday transactions. This underscores the need for thoughtful scaling—not just speed at any cost.
While L2s aim to alleviate pressure, their designs vary widely in trust assumptions and security models. We believe gradual, consensus-driven upgrades—like restoring OP_CAT or increasing script flexibility—are safer paths forward.
What’s Next for Bitcoin Innovation?
Q: What are the key technical directions for Bitcoin’s future?
Casey: I can’t predict which soft fork proposals will gain consensus, but many current ones—like Taproot Assets or covenant explorations—are technically sound and worth pursuing.
OKX Web3 Wallet Team: The roadmap centers on functionality upgrades and scaling solutions. Restoring powerful opcodes like OP_CAT could unlock complex smart contract use cases directly on Bitcoin. Meanwhile, innovations in Bitcoin staking, such as those explored by Babylon, are opening new economic models without compromising security.
We’re also watching protocols like RGB and Lightning Network closely—both offer compelling off-chain capabilities while preserving Bitcoin’s integrity.
Bitcoin vs. Traditional Finance: A New Role Emerges
Q: How does Bitcoin fit into traditional financial systems?
Casey: Bitcoin is evolving into a form of hard currency—akin to digital real estate in traditional markets. Its value lies in scarcity and resilience, not speculative applications.
OKX Web3 Wallet Team: The approval of Bitcoin spot ETFs marks a turning point. It grants institutional investors regulated access to Bitcoin exposure without custody challenges. This lowers entry barriers and boosts legitimacy.
As pension funds and asset managers begin allocating to BTC ETFs, we’ll likely see greater price stability and deeper market integration. Over time, this reinforces Bitcoin’s role as digital gold and an inflation hedge.
Can Bitcoin Be More Than Digital Gold?
Q: Will Bitcoin ever become another Ethereum? What’s your long-term vision?
Casey: Ethereum’s ecosystem resembles Las Vegas—a flashy casino with little real utility. Bitcoin’s enduring narrative must remain its high-assurance digital gold status. Everything else is secondary.
OKX Web3 Wallet Team: While still early, the BRC-20 boom ignited imagination around Bitcoin’s potential. Builders are exploring native applications beyond store-of-value—DeFi primitives, identity layers, even social protocols.
We believe Bitcoin will find its own unique use cases—distinct from Ethereum’s app-centric model—driving a new wave of adoption rooted in security and simplicity.
👉 See how developers are building the next chapter of Bitcoin innovation.
FAQ: Your Questions Answered
Q: What makes Runes better than BRC-20?
A: Runes uses a single transaction for transfers (vs. two for BRC-20), has native protocol-level support for indexing and wallets, and avoids reliance on external JSON metadata—making it more efficient and reliable.
Q: Why does Casey dismiss most Bitcoin L2s?
A: Because they lack real users, working implementations, or clear paths to decentralization. Without these fundamentals, they remain speculative concepts rather than functional networks.
Q: How do inscriptions benefit Bitcoin miners?
A: They generate higher transaction fees during periods of high activity, contributing to over 10% of miner revenue recently—a sustainable boost to network security.
Q: Is there a risk of MEV on Bitcoin?
A: Currently minimal—but if complex DeFi protocols like AMMs are built directly on Bitcoin, MEV could become a serious issue by enabling transaction ordering abuse.
Q: What role do ETFs play in Bitcoin adoption?
A: ETFs provide regulated, familiar investment vehicles for institutions and retail investors alike, increasing liquidity and credibility while reducing custody risks.
Q: Can developers build meaningful apps on Bitcoin without L2s?
A: Yes—through innovations like Ordinals, Runes, Lightning Network, and emerging protocols that extend functionality while respecting Bitcoin’s conservative upgrade ethos.
Core Keywords:
Bitcoin Layer 2
Ordinals protocol
Runes protocol
Bitcoin scalability
Lightning Network
Bitcoin staking
Digital gold
Inscriptions blockchain