Hey, thanks. We keep exploring everything web3.

To answer your questions:

1. The format of the data being inscribed can remain unchanged throughout the inscription process if desired. However, some encoding or transformation of the data is usually done to make it compatible with Bitcoin's scripting language:

- For simple text inscriptions, no change is needed - the text string can be inserted directly into the transaction output script. The data payload is encoded to JSON before being included in the transaction output script.

- For more complex data types like images, audio, documents, etc, the data is typically encoded into a hex string format like Base64. This string output is then structured as a JSON object.

This encoding step converts the binary data into a string of alphanumeric characters that can be represented in the transaction outputs. Decoding the hex string back into its original format will restore the data into its initial pre-inscription form. Some inscription protocols may transform the data into a specific format optimized for storage on Bitcoin. But this will be an implementation choice, not a requirement.

When decoding inscription data from the blockchain, the JSON is parsed to extract the relevant inscribed information. If needed, any Base64/hex strings can be further decoded back to original binary formats like JPEGs.

2. We look at all deals that fit our thesis. We haven't invested yet in Bitcoin ecosystem projects but are actively looking.