The world’s first cryptocurrency, Bitcoin has crossed eighteen million units in circulation. Bitcoin was launched at the end of the subprime mortgage crisis in the United States which triggered the global recession of 2007- 2009. Since government policies were blamed for the economic recession, the world quickly finds an alternative to government-issued currency.
New Bitcoins are Minted in a process called mining.
Bitcoin mining is the process of adding a time-stamped series of immutable records of data that is managed by a cluster of computers not owned by any single entity. This ledger of past transactions is called the blockchain as it is a chain of blocks. The blockchain serves to confirm transactions to the rest of the network as having taken place. Miners share 12.5 new-minted bitcoins plus the mining fee as a reward for securing the Bitcoin network.
A Blockchain is a time-stamped series of an immutable record of data that is managed by a cluster of computers not owned by any single entity.
Each of these blocks of data (i.e. block) is secured and bound to each other using cryptographic principles (i.e. chain).
What Lies Ahead For Bitcoin
Only 21 million Bitcoin will ever be minted, giving it the attributes of scarcity.
That price of bitcoin will likely be on the rising side as investors now know how hard it is to mine new bitcoin. Expect more HODLing of Bitcoins in the coming months.
Bitcoin rewards to miners are expected to half by May 2020, so expect a sharp rise in price for Bitcoin in the first quarter of 2020 – speculators will cash in on the impending bitcoin bull market come 2020.
Unless there is a hard fork to alter bitcoins hardcoded reward structure, it will take 120 years more to mine the remaining 3 million bitcoins in other to complete it hard-coded maximum supply.
— ₿ Mr_Twelve ₿ (@Mr_Twelve_12) October 17, 2019