BITCOIN SUPPLY IS ALMOST FULLY CIRCULATING — WHY THIS MATTERS
Bitcoin has a fixed maximum supply of 21 million coins, meaning no more than this amount will ever exist. This unique feature makes Bitcoin different from traditional currencies that can be printed endlessly.
Understanding Bitcoin Supply
Bitcoin supply is divided into three main parts:
Maximum supply: 21 million BTC
Circulating supply: Coins already mined and available
Remaining supply: Coins yet to be mined
Currently, more than 95% of Bitcoin’s total supply is already in circulation, leaving only a small portion left to be mined.
Why High Circulating Supply Is Important
When most of an asset’s supply is already circulating:
New supply enters the market more slowly
Scarcity becomes more noticeable over time
Market demand plays a bigger role in price movement
This is one reason Bitcoin is often described as a scarce digital asset.
The Role of Bitcoin Halving
Bitcoin’s halving events reduce the number of new coins produced every four years. Each halving:
Lowers the rate of new supply
Increases the importance of existing supply
Strengthens Bitcoin’s long-term scarcity model
Bitcoin’s limited and transparent supply structure is one of its most important features. Understanding how supply works helps investors better understand Bitcoin’s long-term value proposition.
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