On December 13, Bitcoin reached a pivotal milestone—90% of its maximum supply has now been mined. According to research from Blockchain.com, 18.89 million out of the total 21 million Bitcoins are already in circulation. This marks a significant moment in the history of the world’s first and most prominent cryptocurrency, over 14 years since the genesis block was mined on January 9, 2009, which rewarded its creator with 50 Bitcoins.
Bitcoin stands apart from traditional currencies and many other digital assets due to its hard-coded supply cap. Invented by the pseudonymous Satoshi Nakamoto, Bitcoin was designed with scarcity in mind. By limiting the total supply to 21 million coins, Nakamoto aimed to combat inflation and emulate the properties of precious assets like gold.
👉 Discover how Bitcoin’s scarcity could shape the future of digital finance.
How Bitcoin Mining Works
Bitcoin is "mined" through a process where powerful computers solve complex cryptographic puzzles to validate blocks of transactions on the blockchain. Miners who successfully verify a block are rewarded with newly minted Bitcoins—a mechanism that simultaneously secures the network and introduces new coins into circulation.
However, this reward isn’t static. Approximately every four years, or every 210,000 blocks, the block reward undergoes a "halving." It started at 50 BTC per block in 2009, dropped to 25 in 2012, 12.5 in 2016, and 6.25 in 2020. The next halving, expected in 2024, will reduce the reward to just 3.125 BTC—and the process will continue until the final Bitcoin is mined.
Despite being 90% through its supply, the last Bitcoin isn’t expected to be mined until February 2140, due to the exponentially decreasing rate of issuance.
Lost Bitcoins: A Hidden Scarcity Layer
Not all mined Bitcoins are accessible. Estimates from analytics firm Chainalysis suggest that around 3.7 million Bitcoins have likely been lost forever—due to forgotten private keys, hardware failures, or owner deaths. These lost coins amplify Bitcoin’s effective scarcity, meaning the actual circulating supply may never exceed approximately 15 million coins.
This unintended reduction in availability could further influence market dynamics as demand grows against a shrinking pool of usable coins.
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The Future of Bitcoin Mining After 21 Million
Once the 21 millionth Bitcoin is mined, no new coins will be created. At that point, miners will no longer receive block rewards. Their income will shift entirely to transaction fees—the charges users pay to have their transactions processed and confirmed on the network.
Today, the average Bitcoin transaction fee sits around $15—up significantly from $1.40 the previous year. While fees can fluctuate based on network congestion (such as during a market surge or crypto bull run), they represent a growing revenue stream for miners.
Ankur Dubey, Principal of Investments at Jupiter Capital, explains:
“Even after all Bitcoins are mined, crypto miners will still participate in the decentralized blockchain network because of the transaction fees they earn. Perhaps the focus may shift from mining Bitcoin to facilitating transactions—but the network as a whole will remain resilient.”
Some experts predict that mining will evolve with technological advancements. More energy-efficient hardware and renewable-powered mining operations could reduce costs, making fee-based mining profitable even without block rewards.
Others speculate that Bitcoin may eventually be used primarily for high-value, infrequent transactions, similar to how gold is stored as a reserve asset rather than used daily.
👉 See how next-gen blockchain networks are adapting to post-mining economies.
Will Bitcoin’s Price Skyrocket?
With supply dwindling and demand potentially rising, many believe Bitcoin’s price will increase over time. Dubey notes an inverse relationship between supply and price:
“As supply comes down, prices move up. Investors can expect continued upward pressure on Bitcoin’s value.”
However, long-term price forecasting remains speculative—especially over a 120-year horizon. Hitesh Malviya, founder of ItsBlockchain.com, acknowledges uncertainty but emphasizes one certainty:
“Bitcoin will become the most scarce asset in the world by then.”
Unlike fiat currencies that can be printed indefinitely or even other cryptos with inflationary models, Bitcoin’s fixed supply makes it uniquely deflationary by design.
Frequently Asked Questions (FAQ)
Q: When will all 21 million Bitcoins be mined?
A: The final Bitcoin is projected to be mined around February 2140 due to the halving mechanism that slows down new coin issuance.
Q: What happens to miners when no new Bitcoins are left to mine?
A: Miners will rely solely on transaction fees for income. As long as the network remains active and fees are sufficient, mining can remain economically viable.
Q: How many Bitcoins have been lost?
A: Approximately 3.7 million Bitcoins are estimated to be lost forever due to lost private keys, discarded hardware, or owner deaths.
Q: Does Bitcoin’s supply cap affect its price?
A: Yes—scarcity is a key driver of value. With a fixed supply and growing adoption, reduced availability could lead to higher prices over time.
Q: Can the 21 million supply limit be changed?
A: Technically possible but highly unlikely. Altering the cap would require near-universal consensus across the decentralized network and would undermine trust in Bitcoin’s core value proposition.
Q: Will Bitcoin still be secure after mining ends?
A: Security depends on miner incentives. If transaction fees are high enough to attract miners, the network should remain secure. Ongoing innovation in scalability and efficiency may help sustain this balance.
👉 Explore how scarcity-driven assets are redefining modern investment strategies.
Final Thoughts
Bitcoin’s journey toward a finite supply is more than just a technical milestone—it’s a foundational economic experiment unfolding in real time. As mining rewards fade and transaction fees take center stage, the ecosystem must adapt to preserve decentralization and security.
The loss of millions of coins adds an unexpected layer of scarcity, potentially enhancing Bitcoin’s role as "digital gold." While price predictions remain uncertain over such a long timeline, one thing is clear: Bitcoin’s scarcity is intentional, irreversible, and central to its enduring appeal.
As we move closer to 2140, investors, developers, and users alike will need to navigate a new era—one where every satoshi counts not just as currency, but as a piece of a finite digital legacy.