bitcoin··1 min read
Bitcoin's 21 Million Supply Cap: What Happens Next
Bitcoin's fixed supply of 21 million coins will eventually be fully mined, but the network will keep operating with miners earning transaction fees.
Bitcoin's maximum supply of 21 million coins is enshrined in its code by creator Satoshi Nakamoto. Once all coins are mined, no new bitcoin will ever be created, but the network is expected to continue functioning as it does today.
Key Changes After the Last Bitcoin Is Mined
- Miners will no longer receive block rewards in newly created bitcoin, but will instead rely entirely on transaction fees to secure the network.
- The total supply becomes fixed, making bitcoin fully deflationary and non-inflationary.
- Network consensus rules, including proof-of-work, remain unchanged.
The transition from block rewards to transaction fees as the sole miner incentive has long been anticipated. The Bitcoin protocol already adjusts for this by allowing fees to rise organically based on network demand.