Wealth Creation with BTC

BTC reward halfed

lifestyle, wealth, wealth creation bitcoin, protection and 2nd passports

Surge or Stability?

The process of mathematically securing transactions in a block of chains (called mining) requires a tremendous amount of electricity and computing power. In exchange for securing the Bitcoin network and processing transactions, the protocol currently rewards these miners with 12.5 bitcoins for every block of transactions calculated. When the reward for miners is cut in half from 12.5 bitcoins to 6.25 bitcoins. At the first halving on November 28, 2012, BTC/USD traded around $12. By the second, on July 9, 2016, it was $657. The third halving — due in mid-2020 or in 644 days — will see the block reward reduce from 12.5 BTC to 6.25 BTC, while What’s On Crypto suggests ongoing trends could see prices hit a giant $10 million by 2023.

Bitcoin mining and trade show that bitcoin has many advantages.

The last time we saw the reward capped from 25BTC to 12.5 BTC in 2012 and it resulted in a surge of mining power, the new miners are in China, in India where electricity is reasonable conveniently priced. Halvings can make mining Bitcoin less attractive due to a reduction in block reward size, yet hashrate rarely suffers as a result due to difficulty adjustments.

The decline of miner’s reward simply means that the Bitcoin network will begin to generate bitcoins at a much slower rate. If the demand for bitcoin remains constant through the year while the supply is cut in half, simple economics dictates that the price should rise until there is a new equilibrium between supply and demand. Whether or not this supply change is already a factor in the price of bitcoin is a point of disagreement.

Bitcoin users who had coins during the second halving will remember that contrary to expectations, the event had little impact on prices or market activity.

There will never be more than 21 million BCH in existence and right now there is a circulating supply of 17.1 million. More than 80 percent of BCH has been mined into existence since the end of April and the BCH hashrate has been around 3.5 to 4.5 exahash per second. At this speed alone, with just 13 mining pools, the next halving date will be on or around April 6, 2020.

Thou shall not ignore Moore's Law

Many cryptocurrency enthusiasts appreciate the fact that BCH will grow gradually harder to obtain over time due to Satoshi Nakamoto’s built-in supply limit, which introduced a different kind of ‘digital scarcity’ — one that’s backed by the Bitcoin Cash hashrate. This day in age, with computer files like MP3s or JPEGs, we typically think about these digital items differently because they are easily duplicated. The decentralized currency BCH cannot be duplicated so easily, as it’s re-enforced by 3.5 to 4.5 exahash of power validating all the ledger transactions. The system keeps miners sincere because they are economically incentivized to stay honest, unlike traditional systems and public officials trusted today. As time goes by and the mining hashrate continues to increase, the BCH network becomes much more expensive to besiege by making a 51% or double spend attack harder every passing day.

Digital scarcity makes Bitcoin Cash far more valuable than the fiat notes printed by governments and central banks because the code does not allow for mass fiat printing and quantitative easing. The U.S. dollar, for example, has been devalued considerably over time making it lose purchasing power year after year. Extreme USD printing began after the adoption of the Bretton Woods system, throughout the eighties and nineties and then with the bailed-out banks who received billions of printed dollars after 2008.

Benefits of a 2nd Passport
Ripple vs IBM
Advantages Bitcoin

Or did we catch your attention?