Create NFTs with Bitcoin
If we are talking about Bitcoin NFTs at the moment, it is because an ancillary solution, Stacks, makes it possible to create non-fungible tokens by relying on the largest crypto payment network. Stacks is a separate blockchain from Bitcoin, unlike second layer (layer 2) solutions like the Lightning Network.
The blockchain uses smart contracts, then it groups the transactions thus created and settles them on the Bitcoin blockchain. For this reason, Stacks sees itself as a “layer 1.5” solution.
The result is that it is possible to create NFTs that are de facto compatible with Bitcoin, even if they require a side blockchain in order to be created and traded.
Can Bitcoin NFTs democratize?
One can wonder what is the interest of these new NFTs, as Ethereum and other smart contract platforms seem more suitable for this sector. What Bitcoin can bring, however, is its significant weight. Cryptocurrency is still far ahead of its peers, with a capitalization exceeding $ 1,000 billion, or 45% of the total cryptocurrency market cap.
For the moment, it is a market which remains however small. According to data shared by Stacks, Stacks Punks, the equivalent of the well-known Cryptopunks of Ethereum, show a trading volume of 9,746 STX, the native token of Stacks. This corresponds to 13 936 dollars… We are far from the price of a single Cryptopunk, these NFTs currently being snapped up at colossal prices of several hundreds of thousands of dollars.
Will the NFTs usable with Bitcoin be able to find an interest beyond the maximalists and those who do not believe in the future of Ethereum and its consorts? It’s hard to estimate, but what is certain is that it shows that the realm of non-fungible tokens is here to stay.
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About the author: Marine Debelloir
Associate Editor on Cryptoast, I fell into the pot of cryptocurrencies a few years ago. I am passionate about the innovative technologies that arise from the blockchain and I like to find the most delicious information to share with you.
All articles by Marine Debelloir.