Today, another significant event in the history of Bitcoin took place – miners mined exactly 85 percent of all coins that will ever exist in the world. Out of 21 million of all possible BTC, 17.85 million coins already exist today. The actual number of bitcoins in circulation is much less, since many of them are lost permanently or stored for a long time in cold storage.
Mining as a type of business should not lose its profitability even after the extraction of the latest bitcoin. Most likely, the miners will rebuild under the new model of the Bitcoin network, in which all of their income will be provided through commissions. A detailed analysis of the situation is described here .
Everything goes according to plan
Bitcoin creator Satoshi Nakamoto decided to limit the emission of his creation. Moreover, the emergence of new bitcoins is completely predictable even regardless of the number of miners in the network. Analysts are still arguing why Satoshi chose exactly 21 million. However, the fact remains that there will never be more Bitcoins in the world.
Interchange co-founder Dan Held said that Nakamoto initially tried to create something in short supply. Such an asset would surely attract the attention of investors, while the growing demand for it with a limited supply would make it an excellent means for accumulating capital.
Note that in theory, the maximum number of bitcoins can still be increased at least a trillion times with the help of a hard fork. A group of crypto enthusiasts previously advocated a gradual increase in the maximum number of coins. They argued their decision by caring for miners.
After a few halvings, the reward for mining blocks will drop to a point at which it will become completely unprofitable to engage in this business. Thanks to the removal of the main limit of Satoshi Nakamoto, it will be possible to achieve moderate BTC inflation, and miners will start earning only on commissions. Note that the community is against any radical changes to the draft of the first cryptocurrency.
The next bitcoin halving will occur in May 2020. Many analysts predict explosive coin growth before this date. Halving is also considered the main trigger of the main phase of bullran. Well-known trader Peter Brandt expects that the price of BTC can rise up to 100 thousand dollars after cutting the reward for the cryptocurrency block.
However, some industry opponents still consider gold the best way to accumulate capital. According to Peter Schiff, head of Euro Pacific Asset, the rise in price of Bitcoin is a hoax that overshadowed the eyes of crypto investors.
What do you think about this?