bitcoin halving

Bitcoin Halving

One of the most anticipated events in the history of Bitcoin is set to happen by may 2020, Bitcoin halving. Bitcoin halving is the reduction by half in the number of bitcoins produced by bitcoin miners every 10minutes(block rewards).

This halving happens every 4years and has already happened twice. The first halving happened in November 2012, and the block reward was moved from 50BTC to 25BTC with the price of 1BTC standing at $11 USD. The Second halving occurred in July 2016 and the block reward moved from 25BTC to 12.5BTC, with the price of 1BTC moving from $11 in 2012 to $580 – $700 range.

This event according to the inventor of the cryptocurrency, Satoshi Nakamato, is meant to stabilize the Bitcoin market and avoid inflation.

Michael Dubrovsky, Co-founder of Mining R&D Nonprofit said, “The theory is that there will be less bitcoin available to buy if miners have less to sell, ”

This reduction in the influx of bitcoin is expected to spike its price. As supply would be less, compared to the rate of demand.

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