Bitcoin NFT: Galaxy Digital Predicts $4.5 Billion Market by 2025
According to a report from Galaxy Digital's research unit, the Bitcoin non-fungible token (NFT) market is predicted to reach a market cap of $4.5 billion by March 2025 in a "base case" scenario.
These NFTs, also known as Ordinals, enable users to inscribe data onto individual satoshis, each representing 0.00000001 Bitcoin.
This market has gained significant attention since the launch of the Ordinals protocol in late January, with companies such as Yuga Labs announcing Bitcoin-based NFT projects.
Galaxy researchers analyzed the potential growth of Bitcoin NFTs and provided three market cap predictions, ranging from $1.5 billion to $10 billion. The report’s baseline analysis suggests that the market capitalization should increase to $4.5 billion if Bitcoin NFTs can expand to mainstream NFT culture.
– $4.5B base case market
– Help with Bitcoin's fee market
– Increase the design space for smart contracts
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— Dan Held (@danheld) March 3, 2023
The researchers also noted the rapid development in inscription awareness and the existing marketplace/wallet infrastructure as significant factors in the prediction.
The researchers highlighted the significance and utility of Bitcoin NFTs, noting that they offer data storage with strong availability assurances, opening up a variety of use cases, including decentralized software and Bitcoin scaling techniques.
Even the NFT use case alone has the potential to widen the scope of Bitcoin’s cultural impact.
At the time of the report, over 250,000 Ordinals have already been minted.