All About BTC, LTC, ETH mining as well as other alternative crypto currencies
Great start of the new 2017 for Bitcoin (BTC). The crypto currency is now trading at over $1000 USD per coin and today also marks the 8th year since the first block with 50 BTC was generated. That was the genesis block of Bitcoin or with other words the first ever block generated for the BTC blockchain. Time sure does fly fast and Bitcoin has been doing very well lately with predictions raging from $2000 USD exchange rate by the end of this year to much more, especially if the economic situation all around the world does not improve significantly in a short period of time. So happy birthday Bitcoin and may be the force be with you or something else along those lines.
The second Bitcoin block reward halving is going to happen in a bit less than 3 days from now with a little over 400 blocks remaining. The amount of Bitcoins rewarded for each block decreases over time, getting halved once every 210000 blocks (approximately every four years). When Bitcoin was created in 2009, the initial block reward was 50 BTC, then in November 2012, it dropped to 25 BTC after the first halving. As a result of the block reward getting reduced once more in a few days finding a new Bitcoin block will start rewarding the miner that found it with just 12.5 BTC instead of 25 BTC like it is still at the moment. Following this development in 4 more years or sometime in 2020 the next Bitcoin block reward halving is expected to take place further reducing the block reward in half to just 6.25 BTC and so on. This will continue until the total limit of 21 million Bictoins are mined, though this will take quite a lot of years. The total number of BTC after the halving of the block reward should be about 15 Million and 750 Thousands out of the 21 Million total and with the continuing reduction of the reward over time the remaining over 5 Million of coins will take years and years and more halvings to be mined (estimated time is around 2140).
There is still a month before the second Bitcoin block reward halving occurs, but the last two weeks or so the exchange rate of Bitcoin has been steadily increasing from a little over $400 USD to over $700 already. The driving force behind this a bit unexpected significant increase is considered to be the Chinese markets that have been quite active lately with a lot of people buying bitcoins as a means of investment instead of keeping their fiat money (getting devaluated) or investing in other more traditional means such as stocks or gold for example. With this serious increase in price even before the halving of the block reward (the second one for Bitcoin) some of the people that jumped in early have managed to already get a nice profit. The big question however is how high will the BTC price go before the halving occurs and after it happens early next month…