18.5 Million BTC in Circulation
According to CHartBTC’s tweet, almost 18.5 million BTC are in circulation currently. As the current circulation comprises 18.5 million, which means only 2.5 million BTC are left for mining on the part of miners. According to ChartBTC:
“The Bitcoin network has passed 18,500,000 BTC in circulation. Less than 2,500,000 left and half of those will be mined in the next 4 years.”
To date, Bitcoin has undergone three halvings, and the last one occurred in May 2020. BTC halving occurs every four years, and the last Bitcoin will mine in 2140. After 2140, no new Bitcoin will be mined.
May halving created a deep impact on crypto space as a lot of people searched Bitcoin. And the event has also attracted the attention of people who had not known of crypto before.
Scarcity and Inflation
The scarcity of Bitcoin is due to halving events, which help to prevent price inflation. Volatility is a common phenomenon in the traditional world which rises when the supply of money increases. After the Coronavirus pandemic, central banks responded to it by printing more and more cash. Printing in large amounts has produced inflation in the markets. In such a high inflation state, major crypto voices have recommended Bitcoin because it can act as a hedge against inflation in the traditional markets.
Bitcoin and gold are also known as safe-haven assets as they can prevent investors from loss in times of great financial uncertainty. However, Bitcoin can also outperform gold as the supply of gold is still unknown. Gemini CEO recently noted that companies are planning to mine the planets which will put a great negative effect on the gold price. But for Bitcoin, we know that the supply is 21 million. Therefore, Bitcoin has more features than any other traditional asset.
Since the start of 2020, institutional interest in Bitcoin is surging high which could signal towards its bright future. Many giant investment companies, such as Grayscale and MicroStrategy, are buying more and more Bitcoin.