Bitcoin is a digital currency that has gained a lot of popularity in the past decade. It is decentralized and uses blockchain technology to verify transactions. The process of verifying transactions and adding them to the blockchain is known as mining. Bitcoin mining is a crucial aspect of the Bitcoin network as it ensures that the network is secure and transactions are verified correctly. In this article, we will discuss how many bitcoins are mined per year.
To understand how many bitcoins are mined per year, it is essential to understand how Bitcoin mining works. In simple terms, Bitcoin mining is the process of solving complex mathematical equations to verify transactions and add them to the blockchain. Miners compete with each other to solve these equations, and the first one to solve it gets to add the block to the blockchain and receive a reward in the form of bitcoins.
The reward for mining a block is not fixed and changes every four years. When Bitcoin was first introduced in 2009, the reward for mining a block was 50 bitcoins. In 2012, the reward was halved to 25 bitcoins, and in 2016, it was halved again to 12.5 bitcoins. The next halving is expected to take place in 2024, and the reward will be halved to 6.25 bitcoins.
Based on the current reward of 12.5 bitcoins per block and an average of 144 blocks mined per day, the total number of bitcoins mined per year is approximately 657,000. This number is expected to decrease to 328,500 after the next halving in 2024.
It is worth noting that the actual number of bitcoins mined per year may differ slightly from the estimated number due to various factors such as the time it takes to mine a block, the number of miners on the network, and the difficulty of the mathematical equations.
In addition to the block reward, miners also receive transaction fees for verifying transactions. These fees are paid by users who want their transactions to be processed faster. The transaction fees are not fixed and can vary depending on the demand for transactions on the network.
In conclusion, the number of bitcoins mined per year is currently around 657,000, and it is expected to decrease to 328,500 after the next halving in 2024. Bitcoin mining is a crucial aspect of the Bitcoin network, and it ensures that the network is secure and transactions are verified correctly. As the demand for Bitcoin increases, the number of miners on the network is also expected to increase, which could impact the number of bitcoins mined per year.