> ## Documentation Index
> Fetch the complete documentation index at: https://docs.bitrune.org/llms.txt
> Use this file to discover all available pages before exploring further.

# Creating a Rune

> How to etch (create) new Runes directly from Bitrune.

Bitrune supports etching (creating) new Runes directly from the platform. The etching transaction follows the Runes protocol and is broadcast to the Bitcoin network as a standard transaction with an OP\_RETURN Runestone.

## Standard Etch

<Steps>
  <Step title="Choose a Rune name">
    Names consist of uppercase letters A–Z only. Verify the name is available on-chain and that it meets the current minimum character-length requirement.
  </Step>

  <Step title="Set parameters">
    * **divisibility** (0–38, default 8) — number of decimal places
    * **premine** — total supply premined to the etcher's address
    * **symbol** (single character, optional) — currency symbol displayed in wallets and explorers
  </Step>

  <Step title="Upload a logo (optional)">
    Upload an image file. The logo is inscribed as an Ordinals inscription linked to the Rune.
  </Step>

  <Step title="Sign the etching transaction">
    The platform constructs the transaction and presents BIP-340 sighashes for MuSig2 signing. The user computes partial Schnorr signatures over each sighash and submits their public nonces and partial signatures. The platform aggregates signatures and broadcasts the etching transaction.
  </Step>

  <Step title="Wait for confirmation">
    After 1 confirmation, the Rune is assigned its permanent RuneId in the format `block:tx_index` (e.g., `840000:25`).
  </Step>

  <Step title="Premine delivery">
    The premined supply lands at the user's deposit address as a 546-sat dust UTXO carrying the full premine amount.
  </Step>

  <Step title="Create a pool (optional)">
    Launch a liquidity pool seeded with the premined Rune and a BTC deposit.
  </Step>
</Steps>

## Deflationary Etch

A deflationary etch follows the same steps as a standard etch, with the addition of a tax configuration.

### Tax Configuration Fields

| Parameter      | Range       | Description                                                |
| -------------- | ----------- | ---------------------------------------------------------- |
| `buy_tax_bps`  | 0–10000     | Tax on BTC-to-Rune swaps, in basis points (e.g., 500 = 5%) |
| `sell_tax_bps` | 0–10000     | Tax on Rune-to-BTC swaps                                   |
| `buckets`      | 1–4 entries | Distribution rules for collected tax                       |

### Bucket Types

| Type      | Description                                       | Extra Fields   |
| --------- | ------------------------------------------------- | -------------- |
| `BURN`    | Tokens are permanently removed from circulation   | none           |
| `AUTO_LP` | Tokens are auto-injected into the pool's reserves | none           |
| `ADDRESS` | Tokens are sent to a specified wallet             | `dest_address` |

Each bucket includes a `share_bps` field (basis points). The sum of all bucket `share_bps` values must equal 10000.

### Example Tax Configuration

```json theme={null}
{
  "buy_tax_bps": 300,
  "sell_tax_bps": 500,
  "buckets": [
    { "type": "BURN", "share_bps": 5000 },
    { "type": "AUTO_LP", "share_bps": 3000 },
    { "type": "ADDRESS", "share_bps": 2000, "dest_address": "bc1q..." }
  ]
}
```

### Immutability

Tax rules are **immutable** after the etching transaction is broadcast. The platform computes a SHA-256 hash of the canonical JSON representation of the tax configuration and stores it on record. This hash can be used to verify that the rules have not been altered.

## Notes

* Only Runes are supported. BRC-20, Ordinals inscriptions, and Stamps are out of scope.
* The Rune name must be unique across the entire Runes protocol, not just within Bitrune.
* Divisibility determines the smallest transferable unit. A divisibility of 8 means the Rune can be divided to 8 decimal places, similar to BTC satoshis.