For the past few days, investors have been complaining of the limited supply of the world’s largest virtual currency; but it appears things might just get worse.
Another Milestone in the Crypto Market
There are possibilities that the 17 millionth Bitcoin might be mined anytime from now. This is set to become one of the cornerstone projects that would completely change the game in the world of Cryptocurrency, particularly for Bitcoin. That is due to the fact that Bitcoin’s existing rules only allow the creation of 21 million bitcoin.
Since mid-2016, one of a kind million-Bitcoin marker is going to be crossed for the first time. This is a milestone and an achievement in equal measure. It would also remind people of how computers can be used to open more doors in the digital market.
The mining of bitcoin is a special digital scarcity that is not only designed but also enabled by a special feature commonly referred to as a shared network. The main duty of the Bitcoin code is to make sure that only particular Bitcoin numbers are introduced to its market at certain set times.
This is because the code is completely cloned by a number of other upstart virtual currencies. Bitcoin miners, or the individuals who manage the hardware charged with the responsibility of transacting the transaction set of Bitcoin, are rewarded with this data whenever they introduce fresh entries to the main record.
It must be remembered that the data is very scarce.
More Variability in Store
One of the most important facts to note about this whole process is that it is not easy to forecast when and who will mine this upcoming 17 millionth Bitcoin. This is due to the fact that there are too many minute variances that are designed to ensure that the software is in sync.
Here is the Predictability
Even though it is very hard to predict who will mine this upcoming Bitcoin and at what time, there are still other things that can be predicted. Here is one of them: each of the Bitcoin blocks will produce 12.5 brand new Bitcoins.
Since new blocks are created in a span of ten minutes, close to 1,800 new Bitcoins will be introduced to the market in one day. Due to that, this kind of event perfectly fit in the category of a “psychological barrier”. This is according to the sentiments of Alex Sunnarborg, the founding partner of Tetras Capital. These words, can, however, be interpreted differently by other individuals.
The Good Works of Technology
According to Sunnarborg’s own words, the other way in which the result can be stressed is that 80% of the entire Bitcoin that will be released to the market have already to be mined. What that means is that just 1/5 of the final supply would be set-aside for the future buyers and the miners. But what many thinks is that this kind of milestone shows how technology has assisted in achieving so much, especially in this market.
A venture capitalist who made headlines back in 2014 for purchasing millions of Bitcoins that had been owned by the US government, Tim Draper also appeared to be in full support of this whole milestone. In his own words, he thinks this is so awesome.