Supply

The supply of bitcoins in the world is capped at 21 million and, currently, about 18.7 million have been mined. The production of new coins is slowed every four years or so, with the number of coins minted upon completion of a block cut in half each time.

The limited supply is one of the things that makes Bitcoin attractive to many people. Decentralization means it is unlikely that any one person or group could gain control of the ledgers or enough of the currency to manipulate its value.

1.08K reads

MORE IDEAS ON THIS

Competition

Countless other cryptocurrencies have entered the market. While it remains the dominant coin, Bitcoin's market share has fallen from 94 percent in 2013 to 64 percent in March 2020. Other major cryptocurrencies have different uses, but they often do overlap with the possi...

148 reads

Volatility has causes, maybe

While Bitcoin is still subject to swings that would be eye-popping in other markets, this is an asset that does not behave quite like other, more traditional ones. As a result, the volatility of its price, which has dropped over the last few years, may not be a sign of the impending colla...

141 reads

On putting eggs in one basket

One of the more popular uses of Bitcoin is as a gold-like store of value over the long-run. Claims that Bitcoin may someday be valued as high as $100,000 per coin are based on this idea of the coin as "digital gold."

However, a number of studies have suggested that

156 reads

Demand

While early adoption was limited by technical difficulties and legal gray areas, the increasing number of uses and public awareness has increased demand. The number of places accepting them has spiked in recent years and is likely to increase alongside institutional acceptance of...

156 reads

CURATED FROM