A recent study conducted by Trust Machines revealed that the Bitcoin use case experienced a sharp increase in Q1 of 2023. The research company analysed the main factors leading to the explosive growth of Bitcoin.
The Trust team mentioned that the latest development in Bitcoin name services (BNS) and the introduction of Bitcoin-powered non-fungible tokens (NFTs) in the crypto market triggered the Bitcoin use case surge.
Factors Influencing the Increase of Bitcoin Use Case
In addition, the Trust report demonstrated that the upgrades on the Stacks blockchain, which comprise a set of Bitcoin smart contracts, have significantly contributed towards the high use case of crypto assets.
The report demonstrates the growth of Bitcoin use case rivals with the Web3 developments on Ethereum and other blockchain networks. Speaking at the Consensus 2023 event themed “Building on Top of Bitcoin,” Trust Machine chief executive Muneeb Ali stated that the Bitcoin use case would maintain an uptrend due to new technological advancements.
Ali was thrilled to announce the commendable efforts made by the developers to support Bitcoin growth. He labelled Bitcoin as fun since it does not require further development.
The Trust team revealed that emerging technologies had propelled Bitcoin use towards success. They argued that the developers are utilizing Bitcoin layer 1 to bolster the growth of Web3 technologies.
Initially, regulators had adopted restrictive approaches to limit the use of Bitcoin in payment. In 2010 when Bitcoin was still a new concept, the presumed developer of the digital assets, Satoshi Nakamoto, was against using Bitcoin in non-financial activity.
Reviewing Trust Machine’s Report on Bitcoin Use Case
Despite the limitations that undermine the Bitcoin use case, the developers of the digital assets have steadily navigated the crypto sector. On January 31, the Bitcoin community launched a unique ordinal platform with integrated inscriptions features comprising texts and images, among other elements, that are linked to Satoshi currency.
Notably, the Satoshi tokens rank among the smallest Bitcoin units, utilized to develop digital artefacts that can be traded across multiple Bitcoin networks. In light of the Trust Machine analysis, millions of inscriptions have successfully been minted.
According to data captured by the BTC.us. the BNS registration jumped by 400% in 2022. The gradual increment in BNS users compelled the Trust team to analyze the scope of the registration process.
The team observed that the BTC.us. system accepts domains with human-readable characters capable of hosting a website. Also, the domain name should have enormous potential for completing Bitcoin transactions.
Trust Machine Recommendations
Besides scrutinizing the registration procedure, the Trust team observed that after the launch of the decentralized social media platform Nostr the BNS application increased.
They expleined that the surge was fuelled by the latest development of the Stacks blockchain network, powered by the Trust Machine systems. In a previous study by data analysts from Messari, the daily users and addresses on the Stack platform surged by 76% and 42% towards the end of 2022.
The stack team released an official white paper publication revealing the use of Stack Bitcoin (sBTC). They argued that sBTC has an enormous capacity for programming Bitcoin.
Despite the developments to increase the crypto use case, the Trust team observed that the adoption of Bitcoin centred on the decentralized finance (DeFi) platform experienced slow growth. They adviced the developers to embrace the sBTC to expedite the adoption of decentralized Bitcoins.
The Trust recommendations to improve the Bitcoin use case inspired the Stack team to invest in developing a unique sBTC testnet. The Stack team anticipates launching the sBTC mainnet in 2023.