Experts at Galaxy Digital, a crypto-asset investment firm, estimate that the market capitalisation of NFTs operating on the Bitcoin blockchain could reach $10bn by 2025. More than 300,000 individual NFTs have already been created on the Bitcoin network, and the Ordinals protocol was launched in late January, allowing such tokens to be included in Bitcoin transactions.
Galaxy Digital has produced a report titled "Bitcoin Inscriptions & Ordinals" that looks at the likelihood of digital tokens becoming part of Bitcoin.
Galaxy Digital predicts that Ordinals tokens have the potential to challenge NFTs based on the major altcoin in the future. The necessary market infrastructure for Bitcoin-NFT is projected to be completed by the second quarter of 2023, and already now, just two months after their launch, cryptocurrency wallets and exchanges have begun offering support for them.
Galaxy expects Ordinals to become more popular, especially in avatars and computer art, where they are already starting to win back some market share from their competitors.
It is expected that if Ordinals are only available as generative tokens and NFT collections, the market capitalisation of these NFTs could reach $1.5 billion by 2025. Meanwhile, if limited avatar collections and utility tokens are taken into account, the Bitcoin NFT market will exceed $4.5 billion within two years. But if we take into account all kinds of generative art, famous collectibles, various series of avatars, all utility tokens, memes and products related to NFT, then the capitalization of this industry may amount to more than $ 10 billion, which will be 33% of its total market share.