Bitcoin Halving Countdown, BTC Halving Dates and Price History

Bitcoin halving explained

Satoshi Nakamoto is the creator of Bitcoin and he/she/they is/are just a genius (Satosho Nakamoto is just a nickname). Code is law! Check this lines!

# Original block reward for miners was 50 BTC
start_block_reward = 50
# 210000 is around every 4 years with a 10 minute block interval
reward_interval = 210000

def max_money():
    # 50 BTC = 50 0000 0000 Satoshis
    current_reward = 50 * 10**8
    total = 0
    while current_reward > 0:
        total += reward_interval * current_reward
        current_reward /= 2
    return total

print "Total BTC to ever be created:", max_money(), "Satoshis"

This is a Script to calculate how many total Bitcoins will be issued. And here is the result of running this script.

$ python max_money.py
Total BTC to ever be created: 2099999997690000 Satoshis

How many bitcoins will ever be created?

2,099,999,997,690,000 satoshis, or almost 21 million bitcoins, will be issued. The inventor stipulated a 21 million Bitcoin limit to control the supply and therefore future price fluctuations.

How are bitcoins produced

OK! There will never be more than 21 Million Bitcoin, but what is halving of bitcoin. Bitcoin uses the Proof of Work system as the mining basis. The Proof of Work consensus algorithm involves solving a computationally challenging puzzle and provides an objective way for all members of the Bitcoin network to agree on the state of the blockchain and all Bitcoin transactions.. The process is known as ‘mining’, and the nodes in the network that engages in mining are known as ‘miners’. Mining is the process by which new bitcoin is added to the money supply, but this is limited as you saw above. Mining also serves to secure the bitcoin system against fraudulent transactions or double-spending. Miners provide computing power to the bitcoin network in exchange for the opportunity to be rewarded bitcoin. As you saw from the above code the initial bitcoin block reward was 50 BTC.

Bitcoin halving meaning

How the Bitcoin block reward is calculated by code:

int64_t GetBlockValue(int nHeight, int64_t nFees)
{
    int64_t nSubsidy = 50 * COIN;
    int halvings = nHeight / Params().SubsidyHalvingInterval();

    // Force block reward to zero when right shift is undefined.
    if (halvings >= 64)
        return nFees;

    // Subsidy is cut in half every 210,000 blocks which will occur approximately every 4 years.
    nSubsidy >>= halvings;

    return nSubsidy + nFees;
}

As you can see in the Bitcoin code, every 210,000 blocks which will occur approximately every 4 years, the block reward is halved. The maximum number of halvings allowed is 64. If the 64 halvings is exceeded, the code imposes a zero reward (return only the transaction fees). Miners will continue to confirm Bitcoin transactions, but will only receive BTC fees as a reward, because after 64 halvings of the initial reward of 50 BTC, the block reward will be zero. The Bitcoin inflation model created by Satoshi Nakamoto can be called a true miracle compared to the current massive money printing by central banks around the world. The chart below clearly shows the deflationary policy of Bitcoin