Bitcoin's future is perhaps one of the most widely discussed topics in the crypto community. It has been pronounced “dead” exactly 371 times according to popular resource Bitcoin Obituaries. However, the world’s largest cryptocurrency has survived every attempt to be dethroned and continues to grow after each down cycle. Leaving behind the technical aspects, here are 6 possible reasons why the future of Bitcoin is bright and why 2020 might be shaping up as a very good year.
One of the most anticipated events will be taking place on May 17th, 2020 – its halving. Following this event, the rewards that miners get for adding blocks to the network will be slashed in half, hence reducing the overall supply of bitcoins. This will be the third halving event in Bitcoin’s relatively brief history.
The first one cut the reward for a solved block from 50 BTC to 25 BTC back in 2012. The second one took place in June 2016 and cut the rewards down to 12.5 BTC. Naturally, the one that’s upcoming will see the block rewards reduced to 6.25 BTC per block.
As Cryptopotato reported on the matter, after each halving, the price of Bitcoin has increased substantially. This is not unexpected as basic economic principles stipulate that when the supply of an asset reduces while the demand for it remains the same or increases, its price needs to go up. Read More at CryptoPotato...