Can the Runes protocol become the mainstream issue coin standard in the crypto market?

The ERC20 protocol of Ethereum, as the most widely used token standard in the encryption field, is undeniably influential. It not only promotes the prosperity of the Ethereum ecosystem but also lays the foundation for the development of decentralized finance (DeFi), while also providing new possibilities for project financing.

However, as blockchain technology continues to evolve, emerging public chains are seeking breakthroughs, attempting to replicate the success of Ethereum. To stand out in a highly competitive market, new public chains need to have two key elements: first, a sufficiently large market capitalization to consolidate their position; second, an innovative issue coin protocol to win user recognition.

In this context, the Runes protocol demonstrates potential that surpasses ERC20. Its advantages are primarily reflected in the following aspects:

1. Powerful underlying support: Runes is based on the Bitcoin network, and Bitcoin's dominance in the crypto market is unshakeable, providing a solid foundation for Runes.

2. Innovative issuance mechanism: Inheriting the fair issuance concept of BRC20 while integrating the flexibility of ERC20, Runes has gained widespread recognition among user groups.

3. Technical Advantages: Runes utilizes the OP_RETURN opcode in the UTXO model to record token information and operations, which is both flexible and efficient.

Compared to BRC20, Runes performs better in the following aspects:

• Flexibility: Runes supports multiple token issuance models, allowing for both fair launches and meeting team funding needs.
• Convenience: Runes do not require additional engraving transactions, reducing network burden and user costs.
• Concurrency: A single transaction can send tokens to multiple addresses simultaneously, improving efficiency.

Compared to ERC20, Runes also have their unique advantages:

• A more solid foundation: The security and stability of the Bitcoin network provide a strong backing for Runes.
• Emerging Potential: As an emerging protocol, Runes has greater development space and market attention.
• Fairness: Inherits the fair issuance concept of inscriptions, aligning with current market trends.
• Ecological Expansion: By integrating with Bitcoin Layer 2 solutions, Runes can achieve complex business applications.

The technical details of the Runes protocol also showcase its uniqueness:

• Flexible deployment: Multiple types of information can be carried through OP_RETURN, allowing for the issuance and reservation of tokens.
• Multiple launch methods: supports full reserve, completely fair issuance, or hybrid mode.
• Simplified minting and transfer: It can be completed through a simple OP_RETURN operation.

In summary, the Runes protocol, with its innovative design and deep integration with the Bitcoin network, shows potential to become the next generation mainstream issue coin standard. However, whether it can ultimately surpass the status of ERC20 requires time for testing and the continued development of the ecosystem.