Bitcoin (BTC): Maximum Supply, Circulating Quantity, and Remaining Mineable Coins

Bittime -  Did you know that Bitcoin has a limited supply and cannot exceed 21 million coins? It may sound like a limitation, but this is precisely what makes Bitcoin so special and valuable. 

In a world filled with inflation and unlimited money printing, Bitcoin comes with a very different concept of scarcity. 

This article will take a deeper look at how Bitcoin was created with a limited supply, how much is already in circulation, and how much can still be mined.

Why is Bitcoin Supply Limited?

Have you ever wondered why Satoshi Nakamoto, the creator of Bitcoin, set the supply of Bitcoin at only 21 million coins? The answer is quite simple: to ensure Bitcoin's value is maintained. 

This limited supply makes Bitcoin not easily depreciated, like fiat currency which can be printed without limits. In a world that is often trapped in inflation, Bitcoin comes with the uniqueness of guaranteed scarcity.

Satoshi Nakamoto deliberately designed Bitcoin supply to remain limited and certain. This is different from many other assets that can experience large fluctuations due to changes in supply, such as gold or other commodities.

Also read: What is Baby Bitcoin (BABYBTC)?

Bitcoin Maximum Supply

The maximum supply of Bitcoin is 21 million coins, and this will not change. Initially, this number was chosen to ensure that Bitcoin remained affordable even when used on a large scale. 

Even if Bitcoin becomes a global currency used for most of the world's trade, the price of each coin will still be accessible to many people because there are 21 million coins divided.

However, even though Bitcoin's supply is capped at 21 million, there is an interesting history you need to know. In 2010, a bug occurred which caused the supply of Bitcoin to almost reach 184 billion. Although this bug was quickly fixed, this incident shows how tight control over the Bitcoin supply is maintained by the community.

Number of Bitcoins in Circulation

Even though the maximum supply of Bitcoins is 21 million, not all of them are already circulating on the market. To date, around 19.08 million BTC have been circulated. These coins were mostly released in the early years when Bitcoin block rewards were still large, namely 50 BTC per block. Now, after several processes halving, the reward received by miners has decreased to 6.25 BTC per block.

Every day, around 900 new BTC go into circulation, which is more than 328,000 BTC per year. This puts Bitcoin's annual inflation at 1.7%. Interestingly, this figure will continue to decline over time, with Bitcoin inflation estimated at below 0.85% in 2024. 

Just imagine, in 2140, the Bitcoin supply will stop growing because there are no more Bitcoins to be mined, and miners will only be rewarded in the form of transaction fees.

Also read: Bitcoin vs Gold: Comparison, Advantages and Disadvantages

Remaining Minable Bitcoins

However, even though there is quite a large supply of Bitcoin, you cannot access or use all of these coins. It is estimated that around 20% of the total Bitcoin supply is currently lost forever. 

This can be caused by human error, such as forgetting the private key or recovery phrase, or even because the owner intentionally sent Bitcoins to an inaccessible burn address. In fact, many Bitcoins are owned by Satoshi Nakamoto and have never been moved since they were first mined.

According to estimates, there are around 1 million BTC stored in Satoshi's address, which may be lost forever. Additionally, there have been many cases where users lost access to their coins, either because they forgot their password or because the storage device was damaged. All of this contributes to the number of Bitcoins being lost, making the truly available supply even more limited.

Also read: Bitcoin $100K: New ATH and BTC Highest Price Historical Data

Conclusion

With a limited supply and numbers decreasing over time, Bitcoins are becoming increasingly rare and valuable. Not everyone can access existing Bitcoins, either due to errors or coins being intentionally burned. 

This makes Bitcoin even more popular, and it could be that the rarer the Bitcoin, the more valuable the coin you own. As an investment or even just as part of a digital portfolio, Bitcoin continues to show great potential in the future. So, have you considered holding Bitcoin long term?

FAQs about Bitcoin

What are Bitcoins?

Bitcoin is a decentralized digital currency that uses blockchain technology for transactions without involving banks.

How to buy Bitcoin?

Bitcoin can be purchased through exchange platforms such as Binance or Coinbase using bank transfer or credit card.

Is Bitcoin safe to invest in?

Bitcoin has high volatility, so investing in it is risky, even though the technology is safe.

How to Buy Crypto on Bittime

Want to trade sell buy Bitcoins and crypto investment easily? Bittime is here to help! As an Indonesian crypto exchange officially registered with CoFTRA, Bittime ensures every transaction is safe and fast.

Start with registration and identity verification, then make a minimum deposit of IDR 10,000. After that, you can immediately buy your favorite digital assets!

Cek rate BTC to IDR, ETH to IDR, SOL to IDR and other crypto assets to find out today's crypto market trends in real-time on Bittime.

Additionally, visit Bittime Blog to get various interesting updates and educational information about the world of crypto. Find trusted articles about Web3, blockchain technology, and digital asset investment tips designed to enrich your knowledge in the world of crypto.

Reference

Bitbthe, How Many Bitcoins Are There?, accessed 9 December 2024.

Coin Market Cap, Bitcoin Price, accessed December 9, 2024.

Author: MF