The Evolution of On-Chain Bitcoin Videos: From Pepe the Frog to Inscriptions, Analyzing the Storage Technologies and Controversies Behind Them

Developers and artists continue to experiment with writing images, GIFs, and videos into the Bitcoin blockchain, utilizing its immutable nature to permanently preserve digital content. This has sparked technical debates over the use of blockchain space.

Bitcoin Begins Experimenting with Video and GIF Storage

Bitcoin was originally designed as a peer-to-peer electronic cash system, with the core purpose of transfers and value transmission. However, over the past decade, developers, artists, and the crypto community have persistently tried to embed images, GIFs, and videos into the Bitcoin blockchain.

Once these contents are packed into a block by miners, tens of thousands of Bitcoin full nodes worldwide will synchronize, verify, and store the data. As long as the Bitcoin network exists, these contents are theoretically unremovable.

Different technical approaches have gradually evolved. Some protocols embed files directly into transaction data, others slice images and embed them into special private keys or UTXO structures, while some only record ownership and links on-chain. Despite differing methods, the core concept remains the same: leveraging Bitcoin's immutable blockchain to permanently store digital content.

The earliest Bitcoin GIFs come from Rare Pepe

Before NFTs and Ordinals appeared, the Counterparty protocol had already begun experimenting with adding extra data to Bitcoin. In 2016, a user named Mike started issuing Rare Pepe cards via Counterparty. Among them, Series 1, Card 37, "UFOPEPE," is considered one of the earliest GIF animations stored within the Bitcoin ecosystem.

Image source: Protos Mike issued Rare Pepe cards via Counterparty. Series 1, Card 37, "UFOPEPE"

This card features Pepe the Frog riding a flying saucer. At that time, the Rare Pepe community even allowed GIF animations up to 1.5 MB to be uploaded on-chain.

However, early Counterparty did not store complete images or videos entirely on the Bitcoin blockchain. Instead, it recorded ownership and partial data on-chain, with the rest relying on third-party servers.

Even so, these experiments are regarded as important starting points for NFTs and on-chain media, marking Bitcoin's first foray into carrying "moving content."

Ordinals and Inscriptions Make Full Files Officially On-Chain

The real game-changer for Bitcoin on-chain media ecosystems came with Casey Rodarmor's launch of the Ordinals protocol at the end of 2022. Ordinals utilize Taproot and Witness Data structures, allowing users to directly embed complete images, GIFs, music, and even videos into the Bitcoin blockchain.

One well-known example is "Inscription 2," a dancing bird GIF, considered one of the early representative animated Ordinals. Although Bitcoin full nodes do not display images directly, the complete data actually exists on the blockchain.

Image source: Protos Dancing Bird GIF, regarded as one of the early representative animated Ordinals

By 2025, Ordinals began supporting video formats like MP4. Some even embedded skateboarding videos and green frog head effects directly into Bitcoin blocks. These inscriptions are characterized by storing video data entirely on-chain, without relying on external servers.

• Supporters argue this extends Bitcoin from a financial network into a permanent digital archive;
• Critics contend that大量 images and videos are crowding block space, increasing transaction fees.

Bitcoin Stamps and Private Key Storage Spark Technical Controversy

Besides Ordinals, Bitcoin Stamps have become another significant technical approach. The Stamps protocol embeds image data directly into UTXO structures, making the data impossible to delete even if pruned by nodes, thus considered harder to remove than Ordinals.

In 2023, Stamp 54 appeared as one of the earliest on-chain animated stamps. Although the file is only 213 bytes, it can display simple animation effects.

Image source: Protos Stamp 54, introduced in 2023, regarded as one of the earliest on-chain animated stamps

Meanwhile, some developers began exploring more aggressive data embedding methods. In 2026, developer Martin Habovštiak demonstrated a technique to embed approximately 66 KB images directly into Bitcoin transactions without relying on OP_RETURN or Taproot. His approach involved deliberately constructing special private keys and transaction formats, making the entire transaction also a valid image file, thus bypassing some node filtering rules.

This method quickly sparked controversy within the Bitcoin community. Some developers believe Bitcoin should focus on financial use and not become a platform for storing images and videos; others argue that as long as transactions follow consensus rules, anyone should be free to utilize block space.

As Ordinals, Stamps, and various on-chain media technologies continue to evolve, debates over "what Bitcoin blockchain should be used for" have become increasingly intense.

This content is summarized by Crypto Agent from various sources, reviewed and edited by "Crypto City." It is still in training, so there may be logical biases or inaccuracies. The content is for reference only and should not be considered investment advice.