![Bitcoin ‘halving’ event: What is it and how will it affect the price? Bitcoin ‘halving’ event: What is it and how will it affect the price?](https://wex-s3.s3.us-east-1.amazonaws.com/wp-content/uploads/2024/04/AP24065572956518-1024x682.jpg)
Every four years, the world observes the Summer Olympics, the U.S. presidential election, and the much-anticipated bitcoin “halving” event.
The next bitcoin halving, or “halvening,” is expected to occur on April 20 at 11 a.m. Eastern time, and experts say this could have major implications for the cryptocurrency market.
What is the ‘halving’ event?
The bitcoin “halving” event refers to a point when the reward allotted to bitcoin miners is cut in half. Occurring roughly once every four years, the halving is designed to facilitate scarcity in the cryptocurrency.
Approximately every 10 minutes, 6.25 BTC, currently worth over $400,000, is awarded to the miner who validates the most recent “block” of transactions. The data from each block are strung together and distributed to every computer running a node. This forms what is known as the “blockchain.”
The initial “block reward” was 50 BTC, currently about $3.5 million, and soon it will be 3.125 BTC, currently over $200,000. The amount of bitcoin mined will continue to decrease over time until every bitcoin has been mined, which is estimated to happen a …