Post
Topic
Board Bitcoin Discussion
Re: Bitcoin and NFTs
by
Mr forfee
on 30/06/2025, 10:07:46 UTC
I had a thought and wanted to ask. Since Bitcoin Ordinals use each satoshi as an NFT Im wondering in the future if too many sats get used for NFTs could it create any kind of supply issue? Like Bitcoin has a fixed supply right? So if a big number of sats are locked in NFT. can it affect regular transactions or normal use of BTC? Just curious to hear your thoughts. Thanks in advance

The truth is that
While inscribed sats NFTs aren't removed from Bitcoin's supply, they can reduce effective liquidity if holders are reluctant to spend them. This is a market behavior, not a protocol issue.
The real concerns are network-related
More NFTs mean more small UTXOs, increasing node resource demands.
Data-heavy inscriptions can clog blocks, raise transaction fees, and crowd out regular usage.
Even with billions of sats inscribed, it's negligible compared to total supply. But if it ever reached hundreds of trillions, it could have economic implications.
 It's not a supply crisis, it's a UX and scalability challenge.