Bitcoin's mining reward is halved every four years, reducing the rate of new coin creation from "summary" of The Bitcoin Standard by Saifedean Ammous
Bitcoin's mining reward is halved every four years, reducing the rate of new coin creation. This mechanism is known as the "halving," a feature that is hard-coded into the Bitcoin protocol. The purpose of the halving is to control the supply of new bitcoins entering the market, thereby ensuring scarcity and preventing inflation. In the early days of Bitcoin, the mining reward was set at 50 bitcoins per block. Every four years, this reward is cut in half, leading to a reduction in the rate of new coin creation. This process continues until all 21 million bitcoins have been mined, which is estimated to occur around the year 2140. The halving mechanism is essential for maintaining the integrity of the Bitcoin netw...
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