How to set up Xverse for BRC-20 token swaps? (Bitcoin L2)

Wallet Initialization and Network Configuration

1. Download the Xverse app from the App Store and install it on an iOS device running iOS 15 or later.

2. Launch the application and select “Create New Wallet” to generate a fresh 12-word recovery phrase—store it offline with physical redundancy.

3. Confirm the backup by re-entering the phrase in correct sequence, then proceed to wallet setup completion.

4. Navigate to Settings > Network > Bitcoin L2 and enable Stacks (STX), Starknet (STRK), and Spark networks individually.

5. Ensure Taproot address format (bc1p...) is active under Address Management, as BRC-20 swaps require P2TR compatibility.

Asset Import and Balance Verification

1. Go to Portfolio > Add Asset and manually input the BRC-20 token contract identifier (e.g., “ORDI”, “PEPEBRC”) using the ticker field.

2. Confirm asset metadata retrieval; Xverse auto-detects associated inscription ID and UTXO linkage if the token resides on BTC mainnet.

3. Transfer a minimal amount of BTC to the wallet’s bc1p address to cover future swap gas fees on Bitcoin L1 and L2 bridges.

4. Verify incoming BTC balance appears under the Bitcoin section and confirm UTXO status via the Transaction History tab.

5. Cross-check BRC-20 token visibility in My Assets—tokens must reflect correctly minted inscription outputs tied to your address.

Swap Execution via Integrated DEX Aggregator

1. Tap Swap from the bottom navigation bar to open the unified liquidity interface powered by Ordinalswallet and Magic Eden APIs.

2. Select source asset (e.g., BTC or STX) and destination asset (e.g., ORDI or MEME), ensuring both are supported in the current routing path.

3. Input desired swap amount and review slippage tolerance—default is set at 1.5% but adjustable between 0.5% and 5.0%.

4. Confirm estimated network fee in satoshis and approve transaction using Face ID or Touch ID authentication.

5. Monitor real-time status in the Pending Transactions panel; successful swaps display inscription transfer confirmation within 2–6 block confirmations.

Runes and BRC-20 Interoperability Handling

1. Access Runes Dashboard via Portfolio > Runes to view rune balances coexisting with BRC-20 tokens in the same wallet instance.

2. Initiate Rune-to-BRC-20 conversion only through Satsdaq-powered routes—this avoids unsupported op_return encoding conflicts.

3. Disable automatic rune minting during BRC-20 swap sessions to prevent accidental UTXO fragmentation across parallel inscriptions.

4. Validate output script integrity post-swap using the built-in Inscription Explorer: each BRC-20 transfer must map to valid JSON-encoded ordinal inscription data.

5. Reconcile final balances across all layers—BTC mainnet UTXOs, Stacks sBTC deposits, and Starknet bridged assets—within the Multi-Layer Portfolio View.

Frequently Asked Questions

Q1. Can I swap BRC-20 tokens directly between two different Taproot addresses without involving BTC? No. All BRC-20 transfers require BTC-denominated transaction fees paid in satoshis. The swap process embeds token state changes inside Bitcoin transaction outputs, making BTC inseparable from the operation.

Q2. Why does my BRC-20 token not appear after importing the ticker? BRC-20 tokens are not ERC-20-style smart contract tokens. They exist only as ordinal inscriptions tied to specific UTXOs. If the corresponding inscription has not been minted or transferred to your bc1p address, no balance will register.

Q3. Is hardware wallet support available for BRC-20 swaps in Xverse? Ledger and Keystone devices integrate exclusively for signing BTC and STX transactions. BRC-20 inscription creation and swapping remain software-wallet-only due to current firmware limitations in handling ordinal-specific serialization.

Q4. What happens if a BRC-20 swap fails midway through confirmation? Failed swaps result in reverted UTXO state. Your original BTC remains untouched in the source address. Any consumed gas fee is non-refundable, as Bitcoin miners retain those satoshis regardless of inscription execution success.