Bitcoin Stamps Economics

Understanding the cost difference between Bitcoin Stamps and other Bitcoin protocols.

Storage Method Comparison

Bitcoin Stamps: Permanent UTXO Storage

What you're paying for:

• Permanent storage in Bitcoin's UTXO set
• Every Bitcoin node stores your data forever
• True permanence - part of Bitcoin's core blockchain state
• Higher cost but maximum security and accessibility

Ordinals: Witness Data Storage

What you get:

• Witness data storage (not part of Bitcoin's core state)
• Discounted fees due to witness data getting 75% discount
• Limited node storage - estimated less than 20% of Bitcoin nodes store witness data
• Lower cost but reduced permanence guarantee

Why the Price Difference?

Simple explanation:

• Bitcoin Stamps = Store data permanently on every Bitcoin node
• Ordinals = Store data in witness section (not guaranteed on all nodes)
• Result = Bitcoin Stamps cost more but offer true permanence

You're paying for guaranteed permanent storage on the world's most secure network.

Technical Storage Differences

Bitcoin Stamps (UTXO Set):

// Data stored in actual Bitcoin outputs
{
  value: 546,                    // Minimum UTXO value
  scriptPubKey: "P2WSH output",  // Contains stamp data
  // Stored in UTXO set = permanent
}

Ordinals (Witness Data):

// Data stored in witness section
{
  witness: ["<inscription_data>"], // Gets 75% fee discount
  // Not guaranteed on all nodes
}

Node Storage Reality

Bitcoin Stamps:

• Stored on 100% of Bitcoin nodes (required for UTXO validation)
• Part of Bitcoin's core blockchain state
• Cannot be pruned without breaking consensus

Ordinals:

• Stored on estimated <20% of Bitcoin nodes
• Witness data can be discarded after validation
• Many nodes run in pruned mode without witness data

Source needed for exact node storage percentages

File Size and Cost Relationship

Transaction Limits:

• Standard relay: 100KB per transaction (Bitcoin Core default)
• Non-standard: Up to 1MB per transaction (node-dependent)
• SRC-721 recursive: Unlimited through layer composition

Cost Examples (at 20 sats/vB):

• Small stamp (10KB): 15-30k sats ($3-6 at $20k BTC)
• Large stamp (50KB): 50-100k sats ($10-20 at $20k BTC)
• Max single tx (100KB): 100-200k sats ($20-40 at $20k BTC)
• SRC-20 token deploy: 20-40k sats ($4-8 at $20k BTC)

Cost Impact:

• Larger files = higher Bitcoin network fees
• Use OLGA P2WSH storage for optimal efficiency
• Consider SRC-721 for large collections (shared layers)

Costs vary with Bitcoin network conditions

Value Proposition

Why Pay More for Bitcoin Stamps?

• True permanence: Guaranteed storage on all Bitcoin nodes
• Maximum security: Protected by Bitcoin's full consensus
• No ongoing costs: One-time payment for permanent storage
• Universal accessibility: Retrievable from any Bitcoin node

When Ordinals Might Be Better:

• Lower cost tolerance: When price is the primary concern
• Temporary storage: When permanence isn't critical
• Experimental use: For testing or temporary applications

Getting Started

Creating Your First Bitcoin Stamp:

1. Visit Stampchain.io → - User-friendly interface
2. Upload your image - Tool will estimate costs
3. Pay the Bitcoin fee - For permanent storage on Bitcoin
4. Own forever - Your stamp is permanently on Bitcoin

**Integration Options:

• TX-Builder SDK → - Build applications
• API Documentation → - Query stamp data
• Cost Estimation → - Calculate fees programmatically

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Bitcoin Stamps offer maximum permanence through UTXO storage, while Ordinals provide lower-cost witness data storage. Choose based on your permanence and budget requirements.