Bitcoin Analyst ‘MDB’ Weighs in on NFTs

MDB acknowledges the potential exploitation of Bitcoin for non-exchange purposes but supports free market experimentation.

Bitcoin Analyst 'MDB' Weighs in on NFTs
Bitcoin Analyst 'MDB' Weighs in on NFTs

A distinguished Bitcoin analyst with the X handle “MDB” recently expressed a contradictory viewpoint on the burgeoning phenomenon of Bitcoin ordinal inscriptions otherwise called non-fungible tokens (NFTs), contending to favor a stress test and hash war.

Bitcoin ordinals, which enable users to store additional data in “satoshis,” the tiniest unit of Bitcoin, do not utilize Bitcoin as a medium of exchange, according to MDB.

Using Bitcoin nodes to store images or any form of intellectual property, he argued, is equivalent to exploiting the Bitcoin brand for marketing purposes.

However, MDB opined that such experimentation belongs in the realm of the free market and that all individuals ought to be able to employ Bitcoin for their requirements.

Conversely, he regards this phenomenon as an advantageous trial of the Bitcoin network’s resilience.

Specifically, he hypothesized that it might illuminate whether the integration of NFTs represents genuine innovation or merely an attempt to capitalize on the Bitcoin brand.

Furthermore, MDB stated that the long-term storage of intellectual property on the blockchain could develop new applications and security advantages.

More precisely, he posited that the trend might expand the user base through heightened consciousness of Bitcoin.

Within this framework, he suggested the potentiality of a situation comparable to a “hash war,” in which an increasing number of entities and individuals opt to store intellectual property on the blockchain.

As per his assertion, this may prompt a more comprehensive investigation into the constraints and potentialities of the Bitcoin network.

Furthermore, the analyst reiterated his unwavering stance against censorship on the Bitcoin network while acknowledging that ordinals could potentially expose weaknesses in this domain.

Notwithstanding their inception in late 2022, Bitcoin non-fungible tokens demonstrated the most substantial increase in trading volume among all NFT markets during November.

It was reported that Bitcoin non-fungible tokens surpassed the trading volume of Ethereum NFTs to become the most sought-after non-fungible tokens in November.