Knowledge Hub Guide: How the Bitcoin Halving Works — A 2025 Guide
- Ryan Rychlinski
- Aug 15
- 2 min read
1. What Is the Bitcoin Halving?
The Bitcoin halving is a programmed event that cuts the block reward given to miners in half.It happens roughly every four years (or every 210,000 blocks) and is built into Bitcoin’s code by Satoshi Nakamoto.
Why it matters:
Controls inflation — New BTC enter circulation at a slower pace.
Impacts miners — Their block reward is instantly reduced.
Influences price — Historically, halvings have led to long-term upward price trends (but not guaranteed).
2. The Halving Cycle
When Bitcoin launched in 2009:
Block reward = 50 BTC per block.
Since then, we’ve had four halvings:
Halving Event | Block Height | Date | Block Reward |
1st | 210,000 | Nov 2012 | 50 → 25 BTC |
2nd | 420,000 | Jul 2016 | 25 → 12.5 BTC |
3rd | 630,000 | May 2020 | 12.5 → 6.25 BTC |
4th | 840,000 | Apr 2024 | 6.25 → 3.125 BTC |
The next halving will occur at block 1,050,000 (expected ~2028), reducing rewards to 1.5625 BTC.
3. Live Bitcoin Halving Countdown
Next Bitcoin Halving Countdown(Auto-updates in real-time)
What this shows:
Estimated time/date of the next halving
Current block height & progress toward 210,000 block cycle
Time remaining broken down into days/hours/minutes/seconds
4. Why the Halving Exists
Bitcoin has a hard supply cap of 21 million BTC. The halving ensures:
Supply decreases over time.
BTC becomes scarcer (similar to gold’s limited supply).
Mining remains a competitive, difficulty-adjusted process.
5. How It Affects Miners
When the halving occurs:
Miners instantly earn half as much BTC for the same work.
Profitability depends on:
BTC price
Network difficulty
Energy and hardware efficiency
Miners with high-cost electricity or older ASICs may shut down if profits turn negative.
6. Historical Market Impact
While each cycle is unique, here’s the broad pattern observed:
Pre-halving: Speculative price rise.
Post-halving (6–18 months): Larger bull runs historically occurred.
Long-term effect: Reduced supply tends to put upward pressure on price.
⚠️ Important: Correlation ≠ causation. Many macroeconomic factors affect Bitcoin’s price.
7. The Final Halving
No new BTC will be created.
Miners will earn only transaction fees for processing blocks.
8. Quick FAQ
Q: Does the halving change Bitcoin’s total supply? A: No. It only changes the rate at which new BTC are created.
Q: Can the halving schedule be changed? A: Only if Bitcoin’s code is updated via a network-wide consensus — extremely unlikely.
Q: Do all miners get less Bitcoin after the halving? A: Yes — the block reward is network-wide.
9. Key Takeaways
Happens every 210,000 blocks (~4 years).
Reduces miner block rewards by 50% each time.
Ensures a capped supply of 21 million BTC.
Impacts miners’ profitability and can influence market sentiment.
Final halving will occur around 2140.
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