Almost 90% Of All Bitcoin Has Been Mined – We’re Still A Century Away From Last Bitcoin Mined

Bitcoin investors are happy with recent data, which reveals that out of the stipulated Bitcoin supply, a larger percentage have been mined already. Knowing that Bitcoin is in limited supply and will never be recreated is considered glad tidings for investors because, unlike printable currencies, it cannot experience inflation.

Over 89% of BTC Supply Already Mined

In the BTC Whitepaper, the brain behind Bitcoin, Satoshi Nakamoto, set the scarcity background building limit to 21 million Bitcoin that will ever be mined and circulated, which means that the digital assets have a fixed supply. This will give it scarcity and value.

At the time of writing, the total Bitcoin in circulation now sits at 18.78 million, away from the 21 million stipulated in the source code. This is an indication that over 89 percent of the entire Bitcoin to be mined is already in circulation.

Evidently, the 12-year-old asset seems to be looking at the last lap of Bitcoin mining since it is speculated that by the year 2030, 97 percent would have been mined and circulated. However, more speculation flags that it would only be until 2140 for the last 3 percent to be mined and circulated. That will last over a period of one century to come.

Ongoing research on the stimulus-response of the asset’s limited supply on its demand and price points to one of the most significant events in the cryptocurrency industry, known as Bitcoin halving, as being a major catalyst.

Cryptocurrency market speculators have settled into the belief that halving could significantly increase the price of the oldest cryptocurrency since the idea behind the Bitcoin halving event is to reduce inflation risk and possibly reduce the rate at which new tokens are issued into the market.

Mining Bitcoin is a somewhat complex process because miners are required to provide solutions to mathematical problems by processing and verifying transactions on the Bitcoin network. This involves adding 210,000 blocks to the blockchain network. The complete process attracts Bitcoin rewards as an incentive for miners.

The rewards for Bitcoin mining were programmed to be reduced by half by the end of every four years. It is known as Bitcoin halving. With the third event in May 2020 when the rewards were reduced to 6.25 BTC, the first halving was 50 BTC in 2009. It was reduced to 25 BTC in 2012, and in 2016 it was slashed to 12.5 BTC.

After the last Bitcoin is produced in 2140, miners will probably be rewarded with transaction fees instead of halving. In the meantime, smart investors are taking advantage of the long time frame to pile up more Bitcoin.

More Scarcity, More Value

Since its launch in 2009, the cryptocurrency has yielded large returns for the patient and strong-willed investors who choose to hold onto the cryptocurrency even though it is volatile and surrounded by criticism.

Despite fierce opposition from governmental authorities and central banks to gain mainstream adoption, the most popular cryptocurrency, Bitcoin, has held on to its value because it is a decentralized currency. These authorities claim that criminals use Bitcoin for cybercrime and money laundering; therefore, bringing the cryptocurrency under regulation would curb criminal activities.

Even more interesting about Bitcoin’s hard limit is the frenzy of cryptocurrency enthusiasts to hold onto and not sell for the fact that super-sophisticated institutional investors have time and again overhauled their treasury cash into Bitcoin as a protective hedge.

Many investors increasingly see Bitcoin as a store of value and an investment vehicle rather than an electronic means of payment. Hence, they hold for a number of years without plans of selling anytime soon. Moreover, having a large chunk of Bitcoin stash, in the long run, will result in very little Bitcoin in circulation. This will raise the value of the cryptocurrency significantly.

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