# Non-Arbitrary Tokens (NATs)

> a novel & interesting alternative to minting shitcoins out of thin air - [IOTBTC](https://twitter.com/iotbtc/status/1697626173147410664)

## NAT Overview

NAT is the application and framework of Digital Matter Theory for non-arbitrary token genesis. The data of Bitcoin's blockchain leverages the value proposition that makes Ordinal Theory, Rare Sats, and Bitmap Theory valuable. The inscription hierarchy is as follows:

<figure><img src="https://4018966467-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FtLpH8SbXLdOBdIHrvZyH%2Fuploads%2FyN7Nyn293ID4B4Yagnb5%2Fdiagram-export-11-19-2023-5_41_12-PM.png?alt=media&#x26;token=6e9e4000-ec45-4cde-a7ad-9bdbd3c17c2f" alt=""><figcaption><p>Multiple applications of NAT deployments leveraging the same non-arbitrary data root for different use cases</p></figcaption></figure>

## Purpose

Utilizing information from the Bitcoin blockchain as a foundational source when establishing parameters for token supplies holds significant importance in the realm of digital asset creation. The Bitcoin blockchain, renowned as the pioneer of blockchain technology, offers unparalleled transparency and immutability. Leveraging its historical data allows for the derivation of robust and empirically grounded parameters for new token supplies. This approach enhances the credibility and predictability of token economics, ensuring that newly created tokens align with the principles of value preservation that underpin Bitcoin's success.

## Expansionary Nature of NATs

The existing token protocol landscape on Bitcoin does not account for inflationary token supply. The nature of NATs is the non-arbitrary expansion of the token supply based on block data from Bitcoin. Inscribing an element is akin to discovering a natural element. You get the rights to name that digital element. Elements can only be discovered once. Anyone can point to that element via a [Deploy](https://digital-matter-theory.gitbook.io/digital-matter-theory/introduction/non-arbitrary-tokens-nats/nat-deployment-format) inscription to generate a NAT with a supply based on the pattern found within the element you are pointing to.&#x20;

Your NAT will expand for as long as Bitcoin keeps appending blocks to the Bitcoin blockchain. This opens up new use cases for value creation and allows the onboarding of new users through tokenomics based on the block data of Bitcoin.&#x20;

Visit the [Supported Token Protocols](https://digital-matter-theory.gitbook.io/digital-matter-theory/introduction/supported-token-protocols) page for more details.


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