Bitcoin ( BTC) successfully underwent its fourth halving event after posting block number 840,000, the point at which mining rewards are halved.
The event has the crypto community eagerly awaiting what will happen next with Bitcoin prices, with some predicting prices could reach as high as $250,000.
At the time of writing, Bitcoin price is $63,404, up 1.25% over the past 24 hours, according to CoinMarketCap data .
From today onwards, Miners will receive 3.125 BTC per block mined, down from 6.25 BTC previously.
It is a process programmed into the Bitcoin protocol that occurs every 210,000 blocks mined, which equates to approximately every four years.
The three most recent halvings occurred in 2012, 2016, and 2020, resulting in mining rewards decreasing significantly over time. The first Bitcoin halving occurred in 2012 when the reward for mining a block decreased from 50 to 25 BTC.
The main purpose behind Bitcoin halving is to manage scarcity and regulate Bitcoin supply. This mechanism was built into code by the pseudonymous founder of Bitcoin operating under the name Satoshi Nakamoto.
By cutting mining rewards in half, the process effectively slows down the rate at which new Bitcoin is created.
It is expected that it will take until around 2140 for all Bitcoins to be mined.
