Bitcoin has been mined almost all, it is difficult to issue new coins

The world's most valuable digital currency, Bitcoin, has a limited supply of 21 million coins, with almost 90% already mined.

Analysts are predicting what will happen to the crypto economy when no new coins are released.

Unlike any other currency, which has the next legal printable currencies designated by the central bank, inventor Satoshi Nakamoto has limited the supply of Bitcoin to 21 million coins. This means that only 21 million Bitcoins exist in the crypto world.

Bitcoin is currently the world's most valuable digital currency. Photo: RT
Bitcoin is currently the world's most valuable digital currency. Photo: RT

According to the data of the financial website Investopedia, as of August 2021, people have mined approximately 18.7 million VND, with only about 2.3 million VND left unmined.

The supply cap makes the world's oldest digital currency a limited commodity, while controlling the inflation that can result from its unlimited supply.

Investopedia estimates that the last Bitcoin will be mined in the year 2140. Therefore, the issue is whether Bitcoin's network will still be functional after this time.

Analysts predict that the digital economy will change to stay afloat, or come up with some other adaptive measure.

Specifically, many believe that the cryptocurrency “ecosystem” will transform, just like its identity. It was originally introduced as a medium of exchange for day-to-day transactions but has now become more popular as an investment asset instead.

They also say that bitcoin miners can form alliances like those that control other commodities, such as the Organization of the Petroleum Exporting Countries (OPEC) which controls the oil production market.

Another possibility is that Bitcoin could become a reserve asset. This will reduce the number of transactions on the network of cryptocurrencies as retail traders and small trading firms are replaced by large institutions and traders. They will conduct fewer transactions, but higher value to prolong the time of final Bitcoin mining.

And the last possibility, the protocol of the cryptocurrency could be modified to allow Bitcoin to resume production after it reaches the 21 million coin limit. But that will reduce the value of the Bitcoins that have been mined, making it difficult for those who own this coin to accept.

However, now, the scarcity and escalating value of Bitcoin have been attracting speculative investors. Their actions lead to price volatility, driving serious investors away from cryptocurrencies. Bitcoin price this year has dropped from a peak of $60,000 in February to half in May, then rallied back to $55,000 this week.

Currently, Bitcoin is the most valuable digital currency in the world. Soros Fund owner, billionaire George Soros confirmed that the fund is trading in Bitcoin.

Some countries like El Salvador and Cuba have seen the potential of this currency and approved its use as a legal currency. El Salvador is the first country in the world to recognize Bitcoin as legal currency in transactions, after

The National Assembly of this country passed the Bitcoin Law on June 9. However, shortly after that, credit rating agency Moody's downgraded El Salvador's credit rating and the country's dollar bonds were also under pressure.

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