Bitcoin Halving Explained! (Beginners Guide)

The Bitcoin halving, often referred to simply as "the halving," is an event that occurs approximately every four years within the Bitcoin network. It is a programmed reduction in the rate at which new bitcoins are created and the reward given to miners for validating transactions and securing the network. The halving is a key feature of Bitcoin's monetary policy and plays a crucial role in its economic model.
Here's how it works:
1. *Bitcoin Mining Reward*
Initially, when Bitcoin was created in 2009, miners were rewarded with 50 bitcoins for every block they successfully mined (validated). This reward is designed to decrease over time.
2. *Halving Event*
Every 210,000 blocks mined, which roughly translates to about four years, the reward given to miners gets halved. So, after the first halving event, the reward dropped from 50 bitcoins to 25 bitcoins per block. After the second halving, it became 12.5 bitcoins per block.
3. *Impact on Supply*
This halving process will continue until the total supply of bitcoins in circulation reaches 21 million, which is the maximum cap set by Bitcoin's protocol. By halving the reward every four years, Bitcoin's issuance rate decreases gradually over time. This scarcity is one of the key reasons behind Bitcoin's value proposition.
4. *Market Implications*
Historically, Bitcoin halving events have been associated with price increases. The anticipation of reduced supply and the perception of scarcity often drive up demand. However, it's important to note that past performance is not indicative of future results, and the market dynamics can be influenced by a multitude of factors.
In essence, the Bitcoin halving is a built-in mechanism to control the inflation rate of the cryptocurrency and ensure its scarcity over time, ultimately contributing to its store of value proposition.
#bitcoin #crypto #cryptocurrency
0:00 Bitcoin Halving Explained! (Beginners Guide)
0:26 What is the Bitcoin Halving?
5:47 How much Bitcoin should you own?
8:08 Will the "Bitcoin Halving" affect your Bitcoin Mining Profits?
**DISCLAIMER**
This is NOT financial advice and I am NOT a financial advisor. Mining equipment is expensive and can be risky. Cryptocurrency is Extremely volatile and the prices change daily. Please do your own research before investing!! You CAN Lose all of your money...
THESE VIDEOS ARE MADE FOR ENTERTAINMENT PURPOSES ONLY!!!

[@ChumpChangeXD]

*Correction Bitcoin is divisible by 100 Million not 1 Million (I noticed I said this wrong while editing SORRY!)*

[@domg6614]

Was expecting solar eclipse stream but BTC is good enough, Thanks for the info.

[@CryptoCurt]

I was confused...i thought you meant it was happening like right now. 😅 I was like wtf is going on!

[@ChumpChangeXD]

Haha! Sorry!

[@GeekOfAllTrades]

Can't wait to buy the dip!!!

[@NizmoMiner]

Let it get high so I can sell first and buy the dip with you 😂

[@HawkMiningCo]

Hi I’m new to the channel! What’s a having? I don’t even know what Bitcoin is? Fake internet moneys?

[@gaming4fun226]

It different between nicehash halving countdown vs other website around 1 day different?!any idea why?

[@TotaleCryptoMining]

Awesome video man. 100 million Sats in 1 BTC ☺️

[@ChumpChangeXD]

Yea I Fked up lmao my head was pounding when I recorded this was my bad

[@TotaleCryptoMining]

@@ChumpChangeXD Not a big deal. I appreciate all the hard work 😉

[@xeridea]

Correction, there are 100 million Satoshis in 1 BTC

[@ChumpChangeXD]

Thank you 🙏🏻 I noticed I messed that up on editing

[@CharlesFowle]

What happens to miners when the reward is 0? Do miners still have a financial incentive to mine or what??

[@ChumpChangeXD]

The transaction fees with be the rewards

[@shakester2010]

I believe it will be a sell the news event, at least short term. I’m gonna SHORT IT!!😉🔥

[@cjcrypto8699]

Please do so we can see you go Chapter 11

[@ogremgtow990]

First halfing BTC # 12. Second BTC $ 650 . Third $ 8800 . Fourth and as of 2 weeks in advance BTC $ 71 K . Do you think BTC will go higher . I do.

[@shakester2010]

Yes, but will go down first. Good luck! ;)

[@ogremgtow990]

@@shakester2010 When I say will BTC go higher I mean in the next 4 , 8 or even 20 years. Not next week.

[@blackmennewstyle]

The halving is a good thing but not the ETF though... What we need is real worl use cases and services using BTC transactions from wallet to wallet 🔥🚀 P.S.: 1 BTC = 100 000 000 SATOSHI

[@ChumpChangeXD]

Yes thank you. I knew this but said it wrong for what ever reason lol

[@CharlesFowle]

That'd be amazing if it as 4/20 @ 4:20pm lol I'm probally gonna just be mining alt coins still. What ever is most profitable is my strategy. Gpus only. Its crazy too that already 19 million BTC has been mined already.