# BiTS - pieces of BTC By [BiTS](https://paragraph.com/@bits-2) · 2022-04-21 --- An experimental NFT project that started from a couple of what if’s and a love of waves. * What if, fractions of BTC traded as individual units? * What if, NFTs were backed by a real floor? BiTS tackles all 3 - An ERC 721 compatible project with a Bank, a Mint, and pseudo-random waves. **LifeCycle of a BiT** Minting - Deposit fractions of WBTC with the Bank and the Mint mints a fully on-chain BiT, backed by your deposit. All metadata associated with the BiT is on-chain. There is a one-time variable minting premium capped at 10%. Life - The minted BiT can then be held forever, traded, gifted, or transferred. There are no royalties except during mint for the life of a BiT. Redemption - Current owner of a BiT can redeem it anytime, during redemption the Bank will transfer the mint deposit to the owner’s wallet and instruct the Mint to burn the BiT. **Traits of a BiT** Types - There are 5 units of BiTS. They each represent the deposit amount backing the BiT. * MILLI - 0.001 WBTC * CENTI - 0.01 WBTC * DECI - 0.1 WBTC * ONE - 1 WBTC * DECA - 10 WBTC Message - During the minting process, the requester gets to print a message on the BiT. Messages are _case-insensitive and unique_. So a sequence of characters already used on a BiT cannot be duplicated. However, upon redemption, the message string becomes available for future mints. Waves Background - We love waves. Each BiT also gets a unique pseudo-randomly generated waves background during the minting process. These are unique to every BiT as well. Flex - Higher denominations have a higher character limit. ONE and DECA units also get seals. **Release** Coming soon! Check out our test net (Goerli testnet) release at [https://test.bitsnft.xyz](https://test.bitsnft.xyz) For the Goerli testnet USDC is used as the backing deposit instead of WBTC. --- *Originally published on [BiTS](https://paragraph.com/@bits-2/bits-pieces-of-btc)*