{"id":18328,"date":"2023-03-04T18:05:49","date_gmt":"2023-03-04T18:05:49","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/galaxy-digital-report-predicts-bitcoin-nft-market-could-reach-4-5-billion-by-2025-bitcoin-news\/"},"modified":"2023-03-04T18:05:49","modified_gmt":"2023-03-04T18:05:49","slug":"galaxy-digital-report-predicts-bitcoin-nft-market-could-reach-4-5-billion-by-2025-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/galaxy-digital-report-predicts-bitcoin-nft-market-could-reach-4-5-billion-by-2025-bitcoin-news\/","title":{"rendered":"Galaxy Digital Report Predicts Bitcoin NFT Market Could Reach $4.5 Billion by 2025 \u2013 Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
\n<\/p>\n

\n
\n<\/header>\n
\n\n<\/div>\n

As the number of Bitcoin-based Ordinal inscriptions nears the 300,000 mark, Galaxy Digital\u2019s research team published a report on the subject that says the market size of non-fungible tokens (NFTs) built on Bitcoin could reach $4.5 billion over the next two years. The researchers at Galaxy think that new use cases stemming from the inscription trend will \u201cdrive growing interest and adoption\u201d for bitcoin.<\/strong><\/p>\n

Galaxy Researchers Explore the Potential Use Cases of Bitcoin-Based Ordinal Inscriptions and NFTs<\/h2>\n

At the time of writing, there are more than 288,000<\/a> Ordinal inscriptions hosted on the Bitcoin blockchain, as the trend has swelled greatly since the start of February 2023. Four days ago, the number of Ordinal inscriptions reached 200,000, and that same day, Yuga Labs, the creators of the Ethereum NFT collection Bored Ape Yacht Club (BAYC), revealed<\/a> it had minted a collection of 300 inscriptions to auction the artwork. Six researchers and executives from Galaxy Digital published a report<\/a> about the subject and assessed that it is possible that Bitcoin NFTs \u201cbuilt on inscriptions [and] Ordinals\u201d could reach $4.5 billion by 2025.<\/p>\n

\u201cInscriptions significantly expand the design space for Bitcoin,\u201d Galaxy\u2019s report says. \u201cThe addition of sizeable data storage with strong availability assurances opens up a variety of use-cases, many of which are only beginning to be explored, including things like new types of decentralized software or Bitcoin scaling techniques. Even the NFT use-case alone, though, has the potential to dramatically widen the scope of Bitcoin\u2019s cultural impact.\u201d<\/p>\n

\"Galaxy<\/p>\n

Galaxy researchers highlight that the ecosystem is still very young but note that \u201cinfrastructure is emerging quickly.\u201d One of the key building blocks for the technology will be wallets, according to Galaxy\u2019s paper on the inscription subject. Moreover, the study delves into the various collections minted in recent times, such as Taproot Wizards, Bitcoin Punks, and Ord Rocks. The paper mentions the marketplace Openordex, which leverages \u201cpartially-signed bitcoin transactions (PSBTs) to enable the trustless listing and purchasing of inscriptions.\u201d Additionally, Galaxy researchers also discuss the controversy tied to the Ordinal inscriptions.<\/p>\n

The researchers note that they believe technical arguments are already mostly avoided, and a social movement to stop Ordinal inscriptions probably won\u2019t happen. \u201cUltimately, because witness data can be pruned and old data can be avoided in initial block download (IBD) by enabling assumevalid=1, we view the technical arguments against inscriptions to already be mostly mitigated,\u201d the Galaxy researchers wrote. \u201cOn the narrative side, Ordinal inscription transactions are valid to all nodes on today\u2019s Bitcoin network. A social movement to make changes to Bitcoin such that Ordinal inscriptions are no longer possible would need to emerge to change that, an outcome we view as unlikely.\u201d<\/p>\n

Galaxy\u2019s study also notes that, unlike Ethereum, because of the lack of smart contract technology within Bitcoin, NFT royalties are also unlikely. The researchers think the criteria for blue-chip Ordinal inscriptions will be \u201cdynamic,\u201d and the market \u201ccould see significant secondary volume.\u201d While the study mentioned a number of tools, Galaxy believes Ordinal inscription market infrastructure will be developed by the second quarter of this year. As a result of all these trends, layer two (L2) or other types of Bitcoin scaling solutions will be pushed to the forefront of development.<\/p>\n

\u201cThe emergence of inscriptions, and the low-likelihood that the functionality is ever removed from the project, has the potential yet again evolve Bitcoin, driving new use cases, interest, and adoption,\u201d Galaxy\u2019s study concludes.<\/p>\n

\n
\nTags in this story
\n<\/h6>\n
adoption<\/a>, Artwork<\/a>, Bitcoin<\/a>, Bitcoin (BTC)<\/a>, Bitcoin Inscriptions<\/a>, Bitcoin Ordinals<\/a>, Bitcoin Punks<\/a>, Blockchain<\/a>, blue-chip inscriptions<\/a>, BTC<\/a>, BTC inscriptions<\/a>, BTC Ordinals<\/a>, controversy<\/a>, Cryptocurrency<\/a>, cultural impact<\/a>, Ecosystem<\/a>, Ethereum<\/a>, Galaxy Digital<\/a>, inscriptions<\/a>, layer two solutions<\/a>, market size<\/a>, Marketplace<\/a>, NFTs<\/a>, Openordex<\/a>, Ord Rocks<\/a>, Ordinal inscriptions<\/a>, partially-signed Bitcoin transactions<\/a>, report<\/a>, Researchers<\/a>, Royalties<\/a>, secondary volume<\/a>, social movement<\/a>, taproot wizards<\/a>, technical arguments<\/a>, use cases<\/a>, Wallets<\/a>, Yuga Labs<\/a><\/div>\n<\/div>\n

What do you think about the potential impact of Ordinal inscriptions on the future of Bitcoin and the wider adoption of NFTs? Share your thoughts in the comments section below.<\/strong><\/em><\/p>\n

\n
\n\n<\/div>\n
\n
\nJamie Redman <\/h6>\n

\nJamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

\n
\n
\n<\/a>
\n<\/span>\n<\/p>\n<\/div>\n<\/div>\n

Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons, Sergey Nivens, Galaxy Digital Report, <\/em><\/p>\n

\n

Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com<\/a> does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<\/div>\n

\n