Bitcoin Q&A: The 21 Million Provide Cap

What determines the provision of bitcoin? A probabilistic, geometrically declining provide operate meant to simulate the issuance of valuable metals. Each ten minutes, new bitcoin are created. Each 4 years, the block reward cuts in half in what is named “the Halvening.”

Chapters
0:00 The place does provide of bitcoin come from?
0:57 Much less and fewer is issued extra time
1:46 21 million bitcoins
2:30 If there’s going to be a widespread adoption, do you assume the provision of bitcoin goes to be adequate?
3:24 The brand new Bitcoin 1%

Will the provision cap at 21 million bitcoins trigger issues for adoption? If there may be demand, the bitcoin already issued will flow into out there and create velocity within the economic system. We’ll see totally different financial insurance policies for different cryptocurrencies. Bitcoin is unequally distributed and it could make a brand new 1%, however it could additionally make you a part of the brand new 0%. The basic distinction is that the brand new Bitcoin 1% received there by way of being rewarded for taking dangers on a brand new and comparatively untested foreign money, whereas the standard 1% received there as a result of their grandfather killed extra individuals than my grandfather.

Watch the remainder of the presentation:

The primary query is a part of a chat which befell on the Singularity College’s Innovation Partnership Program (IPP):

The second query is an element (Q&A-3) of a keynote discuss which befell on October nineteenth 2016 in the course of the Bitcoin Wednesday Meetup on the Eye Movie Museum in Amsterdam, Netherlands:

Occasion Information:

Presentation Information:

Watch the total discuss right here:

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Andreas M. Antonopoulos is a technologist and serial entrepreneur who has change into one of the crucial well-known and well-respected figures in bitcoin.

Comply with on Twitter: @aantonop
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He’s the writer of two books: “Mastering Bitcoin,” printed by O’Reilly Media and regarded one of the best technical information to bitcoin; “The Web of Cash,” a ebook about why bitcoin issues.

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49 COMMENTS

  1. I am big a fan of this channel, but would ask. What does a country do when it no longer holds enough gold (or Bitcoin) to pay its citizens, because it gave the gold (or Bitcoin) to that/those other country/countries that made your country (your citizens) want to buy their stuff? If we cannot find the answer to this question, then for all it’s technological brilliance, Bitcoin will have solved nothing.

  2. dumb kid wasn’t taught supply and demand. There are more than enough Satoshis for everyone, 300,000 per human. But even if there were less PRICES ADJUST!!

  3. i am not 100% sold if a deflationary currency can work. does anyone have a link to an in depth discussion on this subject. thanks

  4. Although I’m pro BTC, there’s one problem I find with this explanation. A lot of people, plain and simple just got very lucky. In the beginning of Bitcoin, the only risk you took to mine was getting a computer virus. It’s absurd that a person could download the software and simply click “mine” and now be a multi-millionaire. There was no risk taken, no value earned, they just got lucky.

    Risk began creeping in when mining got more expensive and people were actually buying BTC on exchanges. But even still BTC was dirt cheap, putting $100 in isn’t much of a risk. Having said that, I’m not too worried about the new crypto-elite either, but I do recognize it’s still a centralization of wealth-power and could lead to bad things, but to me, the pros outweigh the potential cons.

  5. Andreas, I would be interested in your opinion about the effect of malware derivatives of stuxnet etc on an evolving internet based system of money

  6. If Bitcoin moves to Proof of Stake it just mean central control by banks and large wealthy stakeholders. Back to square one…

  7. True. Many of the 1% have inherited their money. But people like Bill Gates, Steve Jobs, etc made their money by actually building something. The speaker acted pissed because many became the 1% unfairly. Well… you people just got lucky in some BS program. Didn’t “build” squat. Does that seem right to you? And no… having a bunch of computers just crunch numbers to mine these bitcoins is not really building anything.

  8. With increasing demand for Bitcoin, the price will also surge, leveling things out. Instead of looking at the 21 million BTC and wondering how that’ll be enough for 7 billion people, we should instead remind ourselves that 1 Bitcoin has 100 million satoshis. If you own one full Bitcoin, chances are you’ll be in the top 1% of BTC owners.

  9. The Sicilian mafia has the technology to make you think anything they want (voice to skull technology)

  10. so do i need to go to a bitcoin bank to get the actual bitcoins to keep ? and if it’s only online them what do i do with the bit coins i get in person, spend it like cash ?

  11. A currency is only as good as the trust that is put in it. What if by 2141 we aren’t using Bitcoin? It’s a bit of a stretch to assume BTC will last another 124 years, so much can happen especially in the 21st century.

  12. The full block chain size is currently roughly 145GB, I can handle such a download in a laptop or a desktop pc but how does it work on a mobile? I can not download such an amount of data into my phone, so I guess there is an intermediary when using the mobile app?

  13. We should think of the question more carefully which is if the supply of new bitcoin will be sufficient for widespread adoption or not. I really like the question 🙂

  14. Please answer my question: Today many people are mining bitcoins and they earn a little percentage of Bitcoin per transaction. After bitcoins reach its limit of 21 million, how will it reward for mining bitcoin?

    Thanks,
    Avinash Singh Khalsa.

  15. Hi Andreas.
    Sometimes you say things that just don’t add up. For example; How the hell was it an enormous risk early on, for those that bought bitcoin at£1. £10 or £100 ? – that’s hardly an enormous risk.

  16. Imagine a world filled with trillionaires that are mostly crypto-anarchists and tech geeks. LOL. The anarchists could wage war against governments.

  17. somehow i dont know but this the technologie of future but what i dont see is fair because from bitcoin is gonna make world a corrupted place like the rich is rich and poor stays poor 🙁

  18. The whole “equality/inequality” is bunk. Tired of smart people “debating” this. As if the millionaires of today didn’t take risks on business visions they had and were rewarded for it, No certainly their grandfather just killed for it and stole it. Bunk narrative.

    For some reason otherwise intelligent people often lose it on this topic. I think their politics cloud their judgment.

  19. What if a new currency or coin gets created with a new set of parameters? Then wouldn’t the whole premise of decentralized currency fail? I haven’t bet more than I can lose but I want to. I’m fed up with using blood soaked fiat dirty money. Xrp is the establishment for example. Are we working with them or trying to make them obsolete? If we do not crush the establishments form of power than how can a digital means of free trade exist?

  20. What would happen to inactive bitcoins in the long run?.. Many people have lost their key, and have no way of retrieving the account. And I assume many more will in the future. I’m guessing this would only increase the value of the remaining bitcoins in circulation. Maybe after the 21mil have been mined, miners will use their complex computers to try to unearth long lost accounts. If thats even possible.. And if it is, couldnt they use the same method to get into active accounts? hmmmm

  21. Since it came down to 3500$ I been putting in 50 or 100$ every other day or so just becouse I missed out on the first run doesn’t mean I will miss out again this is your chance u have 1509$ sleeping around go and use it get half a bitcoin u will thank me in 2022

  22. Every word that comes out of his mouth feels like my ears get hit by an orgie of the dictionary, science and perfect timing.

  23. I may be wrong but I think precious metals like gold are actually eventually replaced by Earths mantal process after millions of years. I should watch a video on it to see if that’s right or not but I definitely heard that before. Just an idea a lot of people’s issue with bitcoin is its “deflationary” nature with peoples dormant accounts locking away large amounts of the finite currency and obviously the 2041 21million cap.

  24. I think it is funny that bitcoiners celebrate the halving events. Halving events are the greatest security risk to the platform because when reward tends to zero, mining incentive tends to zero. Hashrate is security and anything that causes a drop there is bad.

  25. Limited supply is nonesense. You can just expand the supply unendlessly if you manage to change to C++ protocol to change the coding rule-limit of 21m coins. Only a matter of time before cybercriminals bypass community-gating. Or hostile nodes attack the blockchain protocol with raw energy output.

  26. “Everybody seems to believe that we’re going to get to that 21 million cap on the supply constraint, but there’s really nothing in the protocol to suggest that the supply of bitcoin can’t go up once we hit that limit,” some economist said. How do we know for sure?

  27. I wish I had bought some 🥲
    It’s at 58K now, too late!
    I’ll return to this comment in 2 years.

  28. If your wolrd view is “my granfather killed more people than your grandfather” you clearly dont understand history,economics, social policies and many other factors. Less alone predicte the future of bitcoin. Lol Bitcoin will just be an expensive luxury like a woman bag or whatever. Nothing more nothing less.

Comments are closed.