In introducing the halving, I will try to explain it to you in simple words.
Halving is a planned reduction in the number of newly minted Bitcoins (BTC) that are created and distributed to miners who verify and confirm transactions on the network. This is built into the Bitcoin code to ensure that the total number of coins in the network never exceeds 21 million units.
The first halving took place in November 2012, when the block reward - the amount of Bitcoin awarded to miners for confirming each block of transactions - decreased from 50 to 25 BTC. The second reduction occurred in July 2016, when the reward decreased from 25 to 12.5 BTC. The third and final halving occurred in May 2020, when the reward decreased from 12.5 to 6.25 BTC.
