What is Halving?
The scheduled cut in new Bitcoin issued per block, every 210,000 blocks, roughly four years.
Bitcoin pays miners a fixed reward per block; every 210,000 blocks that reward halves. It is the mechanism that caps supply at 21 million and a recurring theme in cycle stories.
Halving is known in advance, so its effect is not a surprise to anyone paying attention. Treat claims that it guarantees a rally with the same scepticism as any other calendar story.
Related terms
- Max supplyBasics
The hard ceiling on how many coins a protocol will ever create, where one exists.
- InflationMacro
The rate at which prices rise, and the reason 'hard-capped supply' is a selling point.
- MinerOn-chain
An operator that produces proof-of-work blocks and earns the block reward and fees.