Bitcoin: limited supply and its significance in the world of cryptocurrencies

Bitcoin, the first and most well-known cryptocurrency, has a unique feature — a strictly limited supply of 21 million coins. This fundamental characteristic, embedded in the very protocol, defines the economic model of Bitcoin and its positioning as a digital scarce asset.

Current Circulating Supply of Bitcoin

As of 2025, approximately 19.9 million BTC are in circulation out of a maximum possible 21 million. This means that over 94% of all bitcoins have already been mined, and the remaining coins will be issued at a constantly decreasing rate. This emission mechanism creates a natural scarcity and forms the basis for the long-term value of the asset.

Principle of Limited Supply

• The limit of 21 million was established by the creator of Bitcoin, Satoshi Nakamoto, as a fundamental property to prevent inflation.
• Unlike traditional fiat currencies, which central banks can issue without strict limits, the supply of Bitcoin is mathematically limited.
• The scarcity of Bitcoin is often compared to gold and other precious metals, which underpins the concept of "digital gold".

Mining and Halving Mechanism

• New bitcoins enter circulation through the mining process, when miners confirm transactions and secure the network.
• The key element of the issuance is the event halving (, a halving that occurs every 210,000 blocks ), approximately every 4 years (.
• During halving, the reward for mining a block is reduced by 50%, which automatically decreases the rate of new Bitcoin creation.
• The last Bitcoin is expected to be mined around the year 2140, after which miners will only receive rewards in the form of transaction fees.

Key Indicators of Bitcoin Supply

| Parameter | Value | |--------|--------| | Maximum Supply | 21 000 000 BTC | | Current circulating supply | ~19 900 000 BTC | | Current block reward | 6.25 BTC | | Next halving | Scheduled for 2024 | | Estimated completion of issuance | 2140 |

This mathematically precise model of emission and limited supply are key characteristics that distinguish Bitcoin from traditional financial assets and most other cryptocurrencies, defining its unique role in the global financial ecosystem.