Every four years, the bitcoin network undergoes a process known as "halving" where the reward for mining new blocks is cut in half. This mechanism, hard-coded into Bitcoin's protocol, is designed to control the supply of new coins and ensure that the total number of bitcoins in circulation never exceeds 21 million.
While halving events have historically been bullish for bitcoin's price, driving increased scarcity and demand, they also present potential risks to the broader crypto ecosystem.
Pros