TXT is a file format that contains the text, organized in rows. Text files opposed binaries that contain data that is not intended for interpretation as a text (encoded sound or image). The text file can contain both formatted and unformatted text. Since the very simple text files, they are frequently used for storing data.
This format is used for storing bitmap images in an Adobe Photoshop project file. It is stored in uncompressed form, and it includes color spaces, layers with masks, two-color settings, layer structures and other data that allow bitmap photos to be finely edited.