Bittime - The crypto world is preparing to welcome a new chapter in the history of Bitcoin (BTC) . This era of scarcity of leading digital assets will be increasingly felt along with the drastic reduction in block mining rewards. Let's dive deeper into the upcoming Bitcoin halving and how it will shape the future of Bitcoin.
Bitcoin's New Era of Scarcity Explained
The year 2024 marks a watershed moment for Bitcoin. Bitcoin availability will experience a significant decrease as the mining reward for one block will decrease from 6.25 BTC to 3.125 BTC. This adjustment is a crucial step in maintaining Bitcoin's scarcity, reflecting the initial philosophy of its creation by Satoshi Nakamoto.
This decrease in rewards reminds us of the early days of Bitcoin, where miners were rewarded with 50 BTC per block in 2009 to 2012. As time goes by, these rewards continue to decrease through the halving process, which occurs every 210,000 blocks. In 2010, a quarter of the total Bitcoin supply (maximum 21 million) was mined.
By 2011, miners had managed to collect about half of all BTC in existence. In 2015, 75% of Bitcoin was mined. And in 2021, the mining process has produced 90% of the total Bitcoin in circulation.
It is estimated that on April 20 2024, the Bitcoin network will experience its fourth halving. This will again halve the mining reward, from 6.25 BTC to 3.125 BTC per block.
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Bitcoin's Remaining Traces
Currently, 93.6% of the total Bitcoin supply has been issued. This means that there are only 1.34 million BTC left that have not been mined. The circulating supply of BTC, namely 19,656,761.74 BTC, is distributed among various parties such as public and private companies, governments, exchange-traded products (ETPs) and funds, as well as in the realm of decentralized finance (DeFi) and smart contracts .
According to bitcointreasuries.net, the collective holdings of these groups reached 2,494,501 BTC. Meanwhile, cryptoquant.com reports that more than 2 million BTC is held on the exchange platform, with total holdings of around 2,003,753.08 BTC.
However, it should be noted that ownership is partly held by users who utilize their exchange and storage services. Bitcoins that do not move from their owners' digital wallets for a long time, often years, are called "zombie Bitcoins."
The coins may be among the missing, but it is not certain that they are permanently lost. Coin Metrics, in a 2019 study, estimated there were around 1.4 million Bitcoin zombies, while blockchaincenter.net's 2020 estimates put the figure at around 1.7 million.
BTC/USDT Bitcoin Price Today
Source: Bittime.com
On March 19, 2024, the price of Bitcoin BTC/USDT was at $65,008 per coin, down 4.38% in 24 hours.
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Impact of Halving on Bitcoin's Future
The upcoming Bitcoin halving marks a new era for this crypto asset. Bitcoin's scarcity will further increase, strengthening its appeal as a store of value and investment asset. This is predicted to drive Bitcoin price increases in the future, as demand increases and supply decreases.
For miners, the halving will also bring significant changes. Reducing rewards will encourage them to improve operating efficiency and seek alternative sources of income, such as transaction fees and pool mining services. This can trigger innovation and development of mining technology that is more energy efficient and sustainable.
Overall, the Bitcoin halving marks a new chapter in the journey of this revolutionary crypto asset . The coming era of scarcity will strengthen Bitcoin's value and resilience, paving the way for a brighter future for Bitcoin and the entire crypto ecosystem.
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How to Buy Bitcoin (BTC) on Bittime
You can buy and sell Bitcoin (BTC) in an easy and safe way via Bittime . Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappebti.
Bitcoin (BTC) is available on Bittime with the market pair BTC/IDR . To be able to buy BTC/IDR at Bittime, make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application.
Learn the complete guide on how to buy Bitcoin (BTC) on Bittime.
Monitor price chart movements of Bitcoin (BTC), Ethereum (ETH) , Solana (SOL) and other cryptos to find out today's crypto market trends in real-time on Bittime.
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DISCLAIMER: This article is informational in nature and is not an offer or solicitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.
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