Why Does Bitcoin Have a Limited Supply?
Bitcoin is different from traditional currencies because its total supply is limited to 21 million $BTC .
This limited supply is built into Bitcoin’s design. New $BTC enters circulation through mining, but the rate of new supply decreases over time through Bitcoin’s halving events.
The idea behind a limited supply is simple: scarcity matters.
However, limited supply does not automatically mean the price will always go up. Bitcoin’s price still depends on demand, market conditions, adoption and many other factors.
Understanding Bitcoin’s supply is one of the basics every crypto beginner should know. 📚
#bitcoin #BTC #crypto #BinanceSquare
Bitcoin is different from traditional currencies because its total supply is limited to 21 million $BTC .
This limited supply is built into Bitcoin’s design. New $BTC enters circulation through mining, but the rate of new supply decreases over time through Bitcoin’s halving events.
The idea behind a limited supply is simple: scarcity matters.
However, limited supply does not automatically mean the price will always go up. Bitcoin’s price still depends on demand, market conditions, adoption and many other factors.
Understanding Bitcoin’s supply is one of the basics every crypto beginner should know. 📚
#bitcoin #BTC #crypto #BinanceSquare