Why Does Bitcoin Halving Matter?
Control of Bitcoin's Supply 👋🤷
Bitcoin halving matters because it controls Bitcoin's supply, ensuring its scarcity and deflationary nature. With each halving event, the rate of new 🌕🌕bitcoins entering circulation decreases, contributing to Bitcoin's value proposition as a scarce digital asset. 👈👈
🌞🌞Impact on Inflation and Scarcity 🌕Bitcoin's inflation rate and enhances its scarcity, akin to digital gold🌕. This controlled supply mechanism bolsters Bitcoin's value proposition as a store of value and hedge against 🤷inflation.
👍IMPACT ON ECONOMICS 👈it directly affects mining economics. As block rewards diminish, miners must adapt their operations to rely increasingly on transaction fees. This shift influences hash rate, network security, and the economics of mining operations.