Bitcoin Mining

Bitcoin’s total supply is limited by its software and will never exceed 21,000,000 coins. New coins are created during the process known as “mining”: as transactions are relayed across the network, they get picked up by miners and packaged into blocks, which are in turn protected by complex cryptographic calculations.

As compensation for spending their computational resources, the miners receive rewards for every block that they successfully add to the blockchain. At the moment of Bitcoin’s launch, the reward was 50 bitcoins per block: this number gets halved with every 210,000 new blocks mined — which takes the network roughly four years. As of 2020, the block reward has been halved three times and comprises 6.25 bitcoins.

Bitcoin has not been premined, meaning that no coins have been mined and/or distributed between the founders before it became available to the public. However, during the first few years of BTC’s existence, the competition between miners was relatively low, allowing the earliest network participants to accumulate significant amounts of coins via regular mining: Satoshi Nakamoto alone is believed to own over a million Bitcoin.

If you decide to venture into Bitcoin mining for earning a passive income, we have an article on the differences between ASIC & GPU mining here. Additionally, you can visit our sale page here. We also have an article on mining pools if they are of interest to you.  At the end of the day, we highly recommend investing in ASIC mining rigs. Being the superior option, you can always check out our mining profitability page here. You can also book a call with one of our mining experts on 1300 644 978 if you would like to learn more about cryptocurrency mining and earning a passive income!