Bitcoin halving explained: What investors should know
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- Опубликовано: 20 авг 2024
- #bitcoin #crypto #youtube
00:00:05 Bitcoin halving
The price of Bitcoin (BTC-USD) has no shortage of catalysts - from the debate around regulation, to whether it’s a security or a commodity - and whether or not it really is digital gold.
00:00:13 Halving date
But one event is undeniable in its impact on the world’s premier digital asset - the halving. Once every four years the reward for mining the biggest crypto currency is cut in half. This happens in order to reduce the amount of coins in circulation.
00:00:33: How is it calculated?
It happens very specifically every time 210,000 blocks are mined. We can calculate the date fairly precisely with the knowledge that the average block time for bitcoin mining is around 10 minutes. That calculation gets us very close to 4 years.
00:00:40: Why is it needed?
Because there is only so much bitcoin available - 21 million to be exact - and like any other cryptocurrency it needs to remain scarce to hold its value.
00:00:55 How often does this happen?
The halving takes place every four years. The first in 2012 decreased the award for creating a new block from 50 BTC to 25 BTC.
The second halving in 2016 lowered the reward further - from 25 BTC to 12.5 BTC.
The last time out was in 2020, and you guessed it, we halved again - the block award dropping to 6.25 BTC.
There nothing wrong with your math - this time around the block reward miners receive will be halved to 3.125 BTC.
00:01:27: What happens to the price?
The moves could be significant; in the past we’ve seen Bitcoin rise after a halving event, though there’s no certainty this will always be the outcome.
00:01:38 Outcome for the miners
The rewards they’re generating will of course diminish, and that’s not great for an industry with a very high cost burden. Keep an eye on how the big publicly listed miners, the likes of Marathon and Riot, manage this event. As ever, talk of consolidation will no doubt do the rounds.
No matter how you look at it, the event will have serious consequences for all crypto stakeholders, and we’ll be across all the developments here at Yahoo Finance.
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excellent explanation !!!!!! keep up the great work
I'm overall outperforming a lot of assets by holding Bitcoin and a few other top crypto altcoins.
When my percentage goes down it goes down about double that of the s&p100/500 but when it goes up it goes up like 5 times the S&P rate.
Cryptocurrency is booming, notably giants like BTC and ETH. Yet, the market's rollercoaster nature is testing even the hardiest investors. which is why we should look out for proper market analysis or alternatively seek guidance from certified market strategists
I agree. This is why I work with an investment advlsor, I currently have $630k in a well-diversified portfollo that has experienced exponential growth and is also well-matched for every season of the market. We are working on a 'more figures ballpark' goal this year.
@@mikegarvey17who is your advisor please, if you don't mind me asking?
Sure. She goes by ‘GERTRUDE MARGARET QUINTO’. Just research the name. All of this happened in less than a year after she told me what to do.
I looked up her full name online and found her page. I emailed and made an appointment to talk with her; hopefully, she gets back to me.
Nice short video! Good
Thanks for sharing great explanation & made it easy to understand
🚀
Thx!
Great video sir good job, subscribed...
Thank you. Great explanation
99 Bitcoins needs more community hype to make a move 📣📈
Pulse Chain and HEX!
lol scams. bitcoin only.
Don’t lose money on those scams 😂
Jagx stock phase 3data coming 100x potential
halving dates or altcoinsbox sites credible?
so where's the 100k px from all the halving enthusiasts?
Dogelon Mars to the moon baby!
I still don’t get it? So if bitcoin is 80k in halving it’s going to be 40k?
No, that’s not how it works. It means the price will go up because it’s harder to mine BTC than the past
The question is, is Bitcoin going to be like digital gold that extends into infinity? Or are the $21 million Bitcoin cryptocurrencies that will be mined by the year 2140 will become an asset bubble that may burst? I guess we will not know until another 116 years from now supposedly.
there will only ever be 21 million bitcoin. no person can change it. its in the "code"
@@nevets4190 True but also true you and people who was born today will not leave in 2140.
Excellent question. I've wondered this too. The bubble would burst before 2140 as people, who've already more value in bit than fiat, would sell massively bringing the price way down to a point only the true holders would be burned by stubbornness. But, by that time Bitcoin may be the currency of Earth. If that's the case then value of bit will reflect the amount of work given to a product or labor, some sort of work. Just a couple thoughts...
good point. who knows if the people generations ahead of us will even embrace bit. Maybe they'll be no people at all 😞@@bigtree3367
No they’ll regulate crypto to death. In the future you will either be a slave on cbdc or free person using monero. Research that. Thank me later
It should be illegal to use that much power to mine crypto currency.
learn crypto from here 😊
So transactions will take longer. The valuation is dependent on what one idiot would pay for a digital asset.
Transaction times will remain the same...about 10 minutes. Bank / Credit card transactions only SEEM like they are instant because they basically extend a line of credit that is settled later...MANY days later. In that time bank transactions often go through several parties, each taking a cut, and each transaction can be reversed or declined at the whim of those institutions. That's all fine and dandy if you don't buy anything over $600, otherwise you have to ask nicely to use your own money. Since we are moving away from a cash society EVERY transaction we do now, short of tipping, is almost exclusively through some corporation that tracks, monitors and collects all of your spending data. The fee for all of that is usually 3% PER transaction and that adds to increasing prices because EVERYTHING goes up in multiples of 3% depending on how many transactions happen between production and purchase. Tack on the 7% annual average rate of inflation driving down our purchasing power every year...I'm not a fan.
no, transactions will not take longer.
Computers get faster so it offsets one another.
dis like
Go down to 3,000 look look look