One of the main events in the cryptocurrency community, is the bitcoin halving. Everyone is looking at their tickers, watching to see if the price will increase when the mining rewards halve, and that is all slated to happen over the next 24 hours. Generally, the value of bitcoin is widely expected to rise due to the halving. However, the value may have already risen up to its upper boundaries due to this and other events, over the past few months. This makes a huge uptick unlikely, yet the implications go further, beyond the actual price of each coin.

How Does Bitcoin Halving Work?

Bitcoin, like many people know, was programmed to emulate a scarce resource such as gold perhaps. Therefore the more bitcoin is mined, the more difficult it is to get a bitcoin reward. As more bitcoin rewards are given, less bitcoin is left for subsequent rewards. These principles were hardwired into the Bitcoin network, by putting arbitrary limits on the availability of coins, increasing difficulty as…



Source link