Witness｜Bitcoin completed the third halving block reward dropped to 6.25BTC

According to OKLink data, Bitcoin has completed the block reward halving at block height 630000 at 03:23 on May 12, Beijing time. The broadcaster is AntPool, and the block reward has been halved from 12.5 BTC to 6.25 BTC.

This is the third halving since the birth of Bitcoin. After the halving, the output every 10 minutes will become 6.25 BTC. Everyone is talking about halving, so do you know about Bitcoin halving? Why do you have expectations for the "halving market"?

What is Bitcoin Halving

Miners mine a new block on the Bitcoin network every ten minutes. When a new block is dug out, the miner will get the corresponding block reward. The block reward is cut in half every 4 years. The current block reward is 12.5 bitcoins. After this halving is completed, the output every 10 minutes will become 6.25 BTC.

Media: The list of the top 20 voting witnesses in the Steemit community is only 3. Justin Sun regained the advantage: After the Steemit community called the voting force this afternoon, the number of witnesses controlled by the community reached 10 seats. But now it is once again crushed by the new account controlled by Justin Sun. In the list of the top 20 voting witnesses, there are only 3 left in the Steemit community. According to statistics, Justin Sun controlled a total of 20 new Steemit accounts, and received a total of 3.07 million votes, but only 1,184 voting accounts voted. The top 20 accounts in the Steemit community received a total of 2.77 million votes, cast by 189,000 voting accounts. The proportion of votes between Justin Sun and the Steemit community is 52.6% to 47.4%. There is a huge gap in the number of voting accounts. Justin Sun crushed 99.96% of the voting accounts in the Steemit community with 0.04% of the voting accounts. The media commented on this, saying that capital hegemony is undoubtedly revealed, and the DPoS consensus is on the verge of collapse under such circumstances. (Chain Finance)[2020/3/4]

At the beginning of the birth of Bitcoin, Satoshi Nakamoto proposed a simple and effective method to control BTC inflation - the reward halving mechanism (Halving). That is, the theoretical total amount of BTC is 21 million, and no new BTC will be generated after the distribution is completed. Through the reward halving mechanism, BTC can effectively curb its own inflation.

Voice | Jiang Zhuoer: Neither BTC’s Lightning Network nor Segregated Witness can resolve congestion Super congestion will inevitably reappear in this round of bull market: Jiang Zhuoer posted on Weibo that BTC’s LN (Lightning Network) and SW (Segregated Witness) expansion cannot solve the problem Congestion, super congestion will inevitably reappear in this round of bull market. BTC users experience pain, which in turn brings a steady stream of attention to BCH. BCH's rise in this round of bull market has greatly exceeded that of BTC, which is a very high probability event. [2019/5/26]

Why are you looking forward to the halving market?

Since its inception, Bitcoin has experienced two halvings. On November 28, 2012, the Bitcoin block supply was halved for the first time. Then in November 2013, Bitcoin ushered in a bull market, and the price soared to $1,000. On July 9, 2016, Bitcoin ushered in a new wave of halving. On December 17, 2017, Bitcoin hit a high of 19,783.06 USD. By the end of the day, Bitcoin was down to $19,500. Overall, Bitcoin’s price rose 1,824% between Jan. 1 and Dec. 17.

The new version of Bitcoin Core wallet will fully support Segregated Witness: Bitcoin Core 0.16.0 will fully support Segregated Witness. This technology is about to achieve wide-scale popularization and maximize its effectiveness. [2018/2/21]

Compared with the rise brought about by the previous two halvings, people are full of expectations for the halving market. However, what happened in the past may not necessarily happen in the future. The macro background, participants, trading institutions, and price levels of each halving are different. Before the halving, due to the high market expectations for the halving, a round of rise has already been spawned.

In addition, people look forward to the halving market, mainly because they think that halving will push up the currency price, because the scarcity of Bitcoin has increased: more and more users will continue to join the Bitcoin network, while the output of Bitcoin is decreasing; Although the halving may push up the price of Bitcoin in the short term, the combination of these two factors will drive the price higher in the long term. However, in the short term, the halving may bring more direct and serious consequences to another group of participants in the currency circle-miners. The halving could have fatal consequences for miners who have no capital and cannot survive the loss-making period smoothly.

Jihan Wu, chairman and CEO of Bitmain, said earlier that the factors affecting the halving and the actual situation will become more complicated. My personal point of view is that considering the distribution of existing mining machines and other factors, it is predicted that the computing power of the entire network will drop by 20% after the halving. Therefore, it will be a feasible and successful strategy to seize the opportunity of Fengshui, consolidate the advantages of mining efficiency and cost, and focus on long-term investment in the encryption industry.

In addition, William, the chief researcher of OKEx Research, previously told Jinse Finance that there is not much room for Bitcoin to fall. The latest mining machine Antminer S17 series that has been put into the market at present, its shutdown price is between 2,400 US dollars and 3,000 US dollars. After Bitcoin is halved, its shutdown price will be doubled. Yield, the shutdown price of Bitcoin will be between $5,000 and $6,000. This range is the psychological bottom price of Bitcoin. The current price of Bitcoin is around $9,000, so it is difficult for Bitcoin to experience a sharp drop like in March.

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