Tag: Scarcity Effect

Bitcoin halving is a significant event in the cryptocurrency world that reduces the reward for mining new blocks by half. This event, which occurs approximately every four years, is a part of Bitcoin's monetary policy to ensure its supply is capped at 21 million coins. But what impact does it have on the market and the miners? Let's delve into the effects of this deflationary mechanism on Bitcoin's ecosystem. Understanding Bitcoin Halving Bitcoin halving cuts the rate at which new bitcoins are generated, impacting miners' incentives and potentially leading to changes...