PING vs BTC Inscription: On-chain legitimate data + off-chain interpretive rights, the narrative singularity of the x402 protocol has arrived

Recently, the Meme coin PING on the x402 protocol has gained popularity, and many are saying its logic is very similar to the BTC inscription craze of 2023. Does this comparison hold? If so, what are the key similarities? Most importantly, will it follow the same evolutionary path as the inscription market?

To be direct: Yes, it will.

Core Similarities: On-chain data + off-chain interpretation rights

Breaking down the operation logic of BTC inscriptions makes it clear. Users send transactions to the Bitcoin mainnet and hold specific UTXOs, but there’s a key issue— the BTC mainnet itself cannot determine which transactions are genuine inscriptions. At this point, the Ordinals protocol steps in, acting as a third-party indexer that scans all on-chain transactions and, based on its own rules—like “First is First”—determines which are valid inscriptions.

PING’s approach is almost the same template. Users send USDC to a specific address on the Base chain, which is dynamically returned by x402scan. It looks like a “payment request” to the x402 protocol. But the clever part is that neither the Base chain nor the x402 protocol itself knows that this is “minting $PING”; they see only a normal ERC20 transfer.

What truly gives this transaction “minting significance” is the x402scan indexer. It scans all USDC transfers on the Base chain directed to the specific address, applies its own rules (e.g., 1 USDC = 5000 $PING), determines which are “valid mints,” and then records this off-chain in a database, distributing tokens via a contract.

Why is it so similar? A comparison makes it clear

When BTC inscriptions first appeared, the Bitcoin Core team directly opposed them, with a very hardcore reason— inscriptions only filled the Bitcoin mainnet with dust transactions and had no substantive value. Extending this logic, the way PING exists also faces similar criticism. But just like the BTC mainnet, the x402 protocol, as an open standard, cannot be stopped in the short term even if it’s unpopular.

But here’s the problem. Assets used for inscriptions still exist on the Bitcoin mainnet, and once the hype fades, they can be partially recovered. PING is different— the minted tokens are actually flowing into the treasury wallet specified by x402scan. In other words, the team is raising funds and issuing tokens simultaneously, and the x402 protocol itself is always “free-riding”.

But this isn’t necessarily a bad thing. This action is essentially a “call to arms,” greatly increasing exposure and dissemination for the x402 track. It forcibly creates use cases for the x402 protocol, with immediate results, and serves as a stress test for the entire protocol. From a certain perspective, this is a pivotal moment in the x402 narrative, which will likely lead to subsequent improvements and ecosystem possibilities.

Will it replicate the inscription evolution? Certainly

The essence of PING is the x402scan indexer. But it’s obvious that it has significant flaws. Asset custody under a centralized entity directly contradicts the original intention of the x402 protocol—to design payment channels for AI Agents. Additionally, there are compatibility issues; it may not seamlessly integrate with other x402 protocols, and there are no unified standards for minting, transferring, or burning operations.

Following the evolution logic of BRC20→ARC20→SRC20→Runes, more “orthodox” new “inscriptions” will inevitably emerge. Some will improve custody methods, others will change the minting process, and some will seek official support from native protocols. The scene is vast and may surpass most people’s expectations.

Even if in this process, extreme situations like x402scan protocol shutdowns or treasury embezzlement occur, it won’t stop this wave. Pandora’s box has already been opened, and the space for ecosystem evolution is enormous.

Final words

The explosion of the x402 narrative is inevitable; PING has just sounded the charge. How the market will evolve remains uncertain. These are just insights into the cognitive logic and do not constitute any investment advice. But since this wave of enthusiasm is here, it’s worth joining in the fun.