The countdown to the Bitcoin halving has now really begun. It’s going to happen in less than two days. In this article we list everything you need to know. Because this is not only an important moment for Bitcoin owners. A lot is also going to change for the Bitcoin industry as a whole.
What can we expect from the Bitcoin halving?
What exactly does the Bitcoin halving entail? After the halving, mining rewards for Bitcoin miners will halve. Currently these rewards are 6.25 BTC per block produced. After the halving, this will be halved to 3.125 BTC per block. The revenues for miners are therefore halved.
The new supply of Bitcoin will therefore be significantly lower after the halving. As a result, Bitcoin will become even scarcer and its quality as a store of value will receive a boost.
Based on the past, it is expected that the value of Bitcoin will increase after the halving. But there is no certainty that this will happen immediately. The halving is a hectic time for Bitcoin miners.
The less Bitcoin the miners receive, the more efficiently they have to work. Profit margins are currently already small and will become even smaller after the halving. The halving will shake up conditions within the mining industry, and this could have serious consequences.
Miners must become even more efficient
As mentioned, miners must become even more efficient after the halving. This concerns both the equipment they use for mining and the sustainability of the energy they use.
Large miners have been preparing optimally in recent months by investing in more efficient and better mining equipment. But after the halving, miners could also start migrating to areas where energy is cheaper.
Currently, 38 percent of all Bitcoin is produced in the United States. But there it is relatively expensive to mine Bitcoin. The cost of mining 1 BTC there is currently almost $50,000. According to experts, countries in South America such as Venezuela and Paraguay will become more interesting for miners after the halving. The costs of electricity are much lower here.
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Source: https://newsbit.nl/nog-twee-dagen-tot-de-bitcoin-halving-wat-gaat-er-gebeuren/
