Time for a forecast. Not from us, but from Galaxy Digital. They analyzed the current NFTs on Bitcoin and expect them to be worth $4.5 billion by 2025.
Huh, NFTs on Bitcoin? This has only been possible since early 2023, so if you missed it and are only now reading about it, you are still one of the first.
Bitcoin NFTs since 2023
Ordinal was introduced in January of this year. Ordinal allows users to convert individual satoshis into NFTs. Words like magic belong in the new Harry Potter video game, not something as serious as bitcoin. That’s why it’s inscribed here.
A caption is used to add data to individual satoshis, this data can be videos or images. A single Satoshi or SAT is the name of the smallest unit of Bitcoin, or 1/100,000,000 of a BTC.
At the time of writing, more than 300,000 submissions have been made. You are almost in the know, there is also a whole discussion going on about whether NFTs belong in Bitcoin, you can read more about that here.
Galaxy Research has published a detailed report on the current state of NFTs in Bitcoin and where the market could head in the coming years.
Large volumes and heavy blockchain
The report named the five largest Bitcoin NFT sales to date. An NFT from the Ord Punks collection topped the list when it sold for 11.5 bitcoins, a quarter of a million dollars at today’s price.
Those are of course the striking amounts, but the report also highlighted the downside of Ordinal’s success. A major criticism has been that subscriptions make the blockchain bigger and more difficult to download.
Another criticism focused on Bitcoin’s basic functionality. The blockchain was created solely for the P2P electronic money system to conduct financial transactions and not to serve as a decentralized storage system.
4.5 billion by 2025
Analysts from Galaxy Digital also issued a forecast. No matter how well supported the forecast is, it ultimately remains a guess based on current trends. Galaxy Research’s baseline scenario is a market size of $4.5 billion by 2025.
Also, a few years later, in 2027, they expect 64.45 million users to enter the NFT market. In other words, four times as much as Dutch society.
Galaxy Research’s future prediction for atomic numbers is promising and perhaps a bit ambitious, but looking at the current trend, nothing is unrealistic. For example, ordinal numbers just after reaching 200,000 only took a few days to reach 300,000.
Of course, this is the initial stage and growth should stabilize at some point.
Who will win the NFT race?
It will also be interesting to see which blockchain will be the most popular for NFTs in the coming years. Right now this is Ethereum, and Solana and Cardano are only too happy to steal market share from it. However, none of these blockchains considered NFTs in Bitcoin.
Given Bitcoin’s market dominance and the growing popularity of ordinal numbers, it is possible that several collections will switch to ordinal numbers in the coming months and increase their market share.
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Source: Btc Direct
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Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.
