- Bitcoin Ordinals or Bitcoin NFTs made the Grayscale team quite curious, thus they have decided to make their own research report on it.
- Late last month, Grayscale’s research team released its “Market Byte” which includes the potential of Bitcoin Ordinals.
According to Grayscale’s research report, Ordinals is a non-fungible token (NFT) like asset on the Bitcoin network that started its journey late last year. Casey Rodarmor, a Bitcoin developer released the ORD software along with the Bitcoin Ordinals. With its entry in the crypto market, the innovation of Bitcoin Ordinals could “unlock new possibilities for the Bitcoin network.”
Bitcoin Ordinals Enhancing Bitcoin Network
The cryptocurrency investment company, Grayscale prepared its report related to Bitcoin Ordinals. As per the report it states that Bitcoin ordinals could renew the enthusiasm of developers for Bitcoin and also enhance the mining fees. The company also added that these Ordinals would provide two main benefits to the growth and development of the Bitcoin network.
First, as Grayscale mentioned, is a substantial increase in fees paid to miners that has been seen after the entry of the protocol in January. This would ensure “continued network security throughout the lifetime of the Bitcoin network.”
The research report also added that Bitcoin has also been “criticized by some crypto insiders and developers as a relatively stagnant community and blockchains.” While the “velocity of NFT adoption on rest of the blockchains Ordinals have the potential to attract new users who may not previously thought about Bitcoin.”
As the research team of Grayscale believed, the emergence of Ordinals is about promoting a “development-oriented community and culture” to provide support for the Bitcoin network. Furthermore, Grayscale also compared Bitcoin Ordinals with Ethereum’s ERC721. The comparison was based on three main features, that are immutability, on-chain, and simplicity.
However, “Ethereum NFTs boast greater programmability and also dominate the NFT market in terms of volume and popularity”. On the other hand, “Ordinals could be an appealing alternative for those who want a straightforward, scarcer digital asset on the most established blockchain available.”
The Current Price Analysis of Bitcoin
At press time, the price of Bitcoin is trading at $28,597.07 with a 24-hour trading volume of $18.56 Billion. Bitcoin is down 2.23% in the last 24 hours. The most-traded cryptocurrency gave its 24h low at $28,360.50 while high was at $29,952.03. Moreover, the trading volume surged nearly 75% in the last 24 hours. Bitcoin showed its market dominance with almost 46%.
According to CoinMarketCap, in the last 7-days Bitcoin dropped to $27,070.85 and marked high at $29,995.84.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2023/05/01/the-potential-of-bitcoin-ordinals-explored-by-grayscales-team/