BTC crosses the hallmark of 19.8 mined units on Xmas eve. It’s time to talk about Bitcoin’s supply cap

On Dec. 24, 2024, the amount of mined bitcoins crossed the 19,800,000 mark, leaving less than 1.2 million bitcoins remaining until the total supply is exhausted.

After the 2024 halving, approximately 450 bitcoins are mined each day. According to one of the earliest websites collecting various Bitcoin data, Clark Moody, December 24 saw achieving a 19.8 million mined bitcoins milestone.

As many of you might know, Bitcoin has a supply cap of 21 million units. Does it mean that all the bitcoins will be mined soon, and what happens when the remaining supply is exhausted? Why does the Bitcoin scarcity matter, and can the supply cap be removed? These and other questions are answered below.

Table of Contents

When will all 21 million bitcoins be mined, and what will happen next?

While nearly 20 of 21 million bitcoins were mined within the first 14 years of Bitcoin’s existence, the last remaining fractions of Bitcoin will be exhausted only in 2140. The reason is that the Bitcoin emission is set to drop by 50% roughly once every four years every time another 210,000 blocks are mined. The drop in BTC emissions is referred to as “halving.”

As of December 2024, each mined block unlocks 3.25 BTC as a mining reward. In 2140, this amount will drop below the smallest fraction of Bitcoin, known as Satoshi, a one-millionth particle of Bitcoin. As Satoshi is set to be a minimal fraction of Bitcoin, the 2140 halving will effectively stop the emission of bitcoins.

Mining is at the heart of the Bitcoin network’s validity and safety, while mining rewards are the prime incentive for miners to continue their troublesome operations. Happily, when the emission of new bitcoins stops, miners will still receive rewards. Instead of getting freshly minted coins, they will receive portions of the transaction fees charged from the senders. It’s worth saying that fees paid by senders for transaction prioritization already make up a substantial portion of miner rewards.