Bitcoin Asset Substitute Model Analysis: Taking Runes as an Example

Introduction

Transactions are the soul of web3, attention is the core resource of web3, price is the starting point of the crowd, and value is the endpoint of time.

It has been a month since the BTC halving and the launch of the Runes protocol, during which several代打 platforms and trading markets have emerged. On the day of the halving, the cost of a single Runes asset代打 even exceeded 100 dollars.

This article takes Runes assets as an example to analyze the best mechanism for asset代打 on Bitcoin, specifically the etching model (.

1. Runes代打平台GAS排名

After analysis, the core conclusions are as follows:

1. Gas cost ranking: "Split + Chain plan" < "Chain" < "Split" < "Single hit"
2. Degree of centralization: Chain ) without intermediary address ( < Split ) without intermediary address ( < Chain ) with intermediary address ( < Split ) with intermediary address (
3. Asset aggregation effect: chain > split + chain > split
4. Batch on-chain speed: Split = Split + Chain > Chain

![Taking Runes as an example, analyzing the best mechanism of asset staking (etching) model on Bitcoin])https://img-cdn.gateio.im/webp-social/moments-473baedf351673015b3084647f7ec247.webp(

2. Runes Etching Mechanism Overview

Runes use etching technology to record information in the OP_RETURN field of Bitcoin UTXO. This is a non-consumable output that can be viewed in blockchain explorers.

Substitution mechanism: a transaction can only substitute for one Runes asset. The transaction cost depends on the amount of on-chain data, so the optimal model is to minimize the number of UTXOs in the transaction.

![Taking Runes as an example, analyze the best mechanism for asset proxying (etching) model on Bitcoin])https://img-cdn.gateio.im/webp-social/moments-3c43b005c2b2a4510a43277171dd06e4.webp(

3. Substitute Model Analysis

) 3.1 Split Model

The split model first executes a transaction to split it into multiple sub-transactions, and each sub-transaction then carries out asset minting.

Advantages: can be minted in large quantities Disadvantages:

• You need to split the transaction first.
• Users obtain decentralized UTXOs, which are not convenient for subsequent operations.
• Some platforms do not execute代打 during splitting, increasing total costs.

![Taking Runes as an example, analyze the best mechanism for asset proxy (etching) model on Bitcoin]###https://img-cdn.gateio.im/webp-social/moments-39df78116861a7215a8bf1d1fc0f159d.webp(

) 3.2 chain model

The chain model completes multiple transactions by consuming transactions from the previous memory pool.

Advantages:

• Less data
• Assets will be accumulated and eventually transferred to the user.

Disadvantages:

• Limited by the BTC node's anti-DoS attack mechanism, a maximum of 25 transactions can be in the memory pool simultaneously.

![Taking Runes as an example, analyze the best mechanism for asset代打 (etching) model on Bitcoin]###https://img-cdn.gateio.im/webp-social/moments-2faf3a18276b1ff32f147ce78c231cba.webp(

4. Best Substitute Model: Split + Chain

The currently optimal solution is a split + chain model, which has the following advantages:

1. Asset minting can be done when splitting.
2. High casting efficiency within 25 times
3. More than 25 times can be split into multiple chain executions to mint after the required gas.
4. Large-scale minting can be completed within 2 blocks.

This model has the ability to mint in large quantities while maintaining low gas fees.

![Taking Runes as an example, analyze the best mechanism for asset substitution (etching) model on Bitcoin])https://img-cdn.gateio.im/webp-social/moments-191a3bf7f0b4a2b27ff8e13fcfe4e298.webp(

5. Comparison of BTC Transaction Fee Optimization Rates

Taking Taproot addresses as an example, calculate the increase in vsize for different models:

• Chain batch 10 transactions: 1310 vsize

• Split batch of 10 transactions: 1697 vsize

• gas optimization rate: 22.8%

• Chained batch 20 transactions: 2620 vsize

• Split batch of 20 transactions: 3437 vsize

• gas optimization rate: 23.8%

It may seem like a small amount, but it can significantly lower the user threshold during high-cost periods.

![Taking Runes as an example, analyze the best mechanism for asset proxy (etching) model on Bitcoin])https://img-cdn.gateio.im/webp-social/moments-d28b640e81b25988c1c564cb18533a3a.webp(

6. Summary

One month after the issuance of Runes, the ecological development is below expectations, mainly limited by the two core infrastructures of代打 and the market being underdeveloped, which has led to excessively high participation costs.

Currently, platforms either charge high fees or lack complete functionality. The proxy trading model also needs to consider users' real trading needs; during early high volatility periods, retail investors require the ability to make quick trades.

In the future, further optimization of the agency and trading mechanisms is needed to lower participation thresholds and promote ecological development.

![Using Runes as an example, analyze the best mechanism for asset proxy (etching) model on Bitcoin])https://img-cdn.gateio.im/webp-social/moments-629ff7d9eb882de3700cd93ba835c66d.webp(