As of May 2021, there are approximately 18.7 million bitcoins in circulation, out of a total supply of 21 million bitcoins. This means that there are only 2.3 million bitcoins left to be mined or created, and this number will continue to decrease over time until all 21 million bitcoins have been mined.
The process of mining bitcoins involves solving complex mathematical puzzles using powerful computers. Miners are rewarded with bitcoins for their efforts, and this is how new bitcoins are created. The rate at which new bitcoins are generated is designed to slow down over time, with the reward for mining a block of transactions decreasing by half every 210,000 blocks. This is known as the halving event, and it occurs approximately every four years.
The last halving event occurred in May 2020, and the reward for mining a block of transactions was reduced from 12.5 bitcoins to 6.25 bitcoins. This means that the rate at which new bitcoins are being created is slowing down, and it will become increasingly difficult for miners to earn new bitcoins as the supply approaches its limit.
However, not all of the bitcoins that have been mined are available for purchase. Some bitcoins may be lost or inaccessible due to lost private keys or forgotten passwords. It is estimated that around 20% of all bitcoins may be permanently lost, which means that the actual number of bitcoins available for purchase is likely to be lower than the total supply.
Furthermore, many bitcoin holders may not be willing to sell their bitcoins at current market prices. Bitcoin is a highly volatile asset, and its value can fluctuate rapidly in response to market demand and other factors. Some investors may be holding on to their bitcoins in the hope that the price will increase in the future, which means that they are not available for purchase at current market prices.
Despite these limitations, there are still a significant number of bitcoins available for purchase on cryptocurrency exchanges and other trading platforms. The total market capitalization of bitcoin is currently around $1 trillion, which means that there is a large amount of money chasing a relatively small supply of bitcoins.
The availability of bitcoins for purchase can also vary depending on the location and regulatory environment. In some countries, it may be difficult or illegal to purchase bitcoins, which can limit the overall demand for the asset. However, as more countries and institutions begin to adopt bitcoin and other cryptocurrencies, the demand for bitcoins is likely to increase, which could drive up prices and make it even harder to purchase bitcoins.
In conclusion, there are currently around 18.7 million bitcoins in circulation, with a total supply of 21 million bitcoins. However, not all of these bitcoins are available for purchase, due to lost or inaccessible bitcoins and investors holding onto their bitcoins. The availability of bitcoins for purchase can also vary depending on the location and regulatory environment. As the adoption of bitcoin and other cryptocurrencies continues to grow, the demand for bitcoins is likely to increase, which could drive up prices and make it even harder to purchase bitcoins.