BTC Supply

Definition ∞ BTC supply refers to the total quantity of Bitcoin units currently existing and circulating within its decentralized network. This amount is algorithmically capped at 21 million coins, with new bitcoins introduced through a process known as mining. The rate of new Bitcoin creation halves approximately every four years, an event termed “halving,” which reduces the supply issuance. Understanding this metric is essential for assessing Bitcoin’s scarcity and economic model.
Context ∞ News related to BTC supply often centers on the halving events and their historical impact on price action and miner profitability. Discussions frequently analyze the relationship between Bitcoin’s fixed supply schedule and its potential as a store of value, especially when contrasted with inflationary fiat currencies. Reports also monitor the circulating supply to identify trends in coin distribution, such as long-term holder accumulation or significant movements from exchanges, providing insights into market sentiment and potential price pressures.