What is the 21 million bitcoin limit?

In brief 1 Bitcoin was designed so that there is a finite supply of 21 million BTC. 2 One explanation for the 21 million Bitcoin limit is the money supply replacement theory. 3 An alternative suggestion is that the limit could be mathematically extrapolated from Bitcoin's operating parameters.

How many Bitcoins can be mined?

In the source code, Nakamoto set the upper limit of 21 million Bitcoins, implying that no more can be mined or circulated. Although Nakamoto did not explain establishing the limit of 21 million, many people consider it a significant benefit for the world’s oldest cryptocurrency.

How much is a bitcoin worth?

One Bitcoin was worth around $10,000 (around Rs. 7.43 lakhs) last year, and it has since risen fourfold. The value of Bitcoin increased as it became ‘harder’ to mine. What exactly is the situation with bitcoin’s supply? Satoshi used a method in the source code to impose a hard cap, or maximum limit, on bitcoin production of 21 million.

Who will be most affected by the bitcoin supply limit?

It may seem that the group of individuals most directly affected by the limit of the bitcoin supply will be the Bitcoin miners themselves. Some detractors of the protocol claim that miners will be forced away from the block rewards they receive for their work once the bitcoin supply has reached 21 million in circulation.