How Long Until All Bitcoin Is Mined? Bitcoin’s Supply Explained

Ruby Layram 14th Feb 2025 No Comments

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The primary appeal of Bitcoin is its finite supply, which means that the cryptocurrency offers deflationary value and can be used as a hedge against inflation. It is common knowledge that the maximum supply of Bitcoin is 21 million – after this, no new Bitcoins will be created (or ‘mined’).

We recently received a brilliant question from a MoneyMagpie reader about whether or not the maximum supply of Bitcoins has been reached. To answer this, we need to delve into Bitcoin’s total supply, its mining process, how long until all Bitcoin is mined, and the implications for the network once all coins are mined.

What Is the Total Supply of Bitcoin?

Bitcoin’s creator, Satoshi Nakamoto, designed the Bitcoin ecosystem with a hard cap (maximum amount) of 21 million coins. This means that, by protocol, there will never be more than 21 million Bitcoins in existence.

This limit is a fundamental aspect of Bitcoin’s value proposition, distinguishing it from traditional fiat currencies that can be printed at will (we’ve all seen this happen in the UK!).

The number of Bitcoins in existence changes every 10 minutes, due to mining activity. However, at the time of writing, approximately 19.9 million Bitcoins have been mined, leaving about 1.1 million yet to be introduced into circulation (through mining).

How Many Bitcoins Are Mined Each Year?

Bitcoin’s issuance is governed by a process called Bitcoin halving. Every 210,000 blocks—roughly every four years—the reward miners receive for adding a new block to the blockchain is halved. This mechanism ensures a decreasing rate of new Bitcoin creation over time, contributing to its deflationary nature.

Here’s a brief history of Bitcoin halving events:

November 28, 2012: The first halving reduced the block reward from 50 BTC to 25 BTC.
July 9, 2016: The second halving reduced the reward to 12.5 BTC.
May 11, 2020: The third halving brought it down to 6.25 BTC.
April 19, 2024: The most recent halving further reduced the reward to 3.125 BTC.

Given the current reward of 3.125 BTC per block and an average block time of 10 minutes, approximately 328,500 Bitcoins are mined each year. However, this number will continue to decrease with each subsequent halving.

When Will All of the Bitcoin Be Mined?

If we follow the halving schedule, the next halving is expected around March 26, 2028, reducing the block reward to 1.5625 BTC.

This halving cycle will continue approximately every four years until the block reward approaches zero.

Due to this geometric progression, it’s projected that the last Bitcoin will be mined around the year 2140. At that point, the 21 million cap will be reached, and no new Bitcoins will be created.

What Happens After All Bitcoins Are Mined?

Once all 21 million Bitcoins are mined, miners will no longer receive block rewards. However, mining will continue to play a crucial role in the network’s operation. Miners will be incentivized through transaction fees paid by users for processing transactions.

These fees are already a significant part of miners’ revenue and are expected to become increasingly important. As the number of new Bitcoins introduced decreases, the reliance on transaction fees will grow to sustain mining operations.

It’s also worth noting that Bitcoin’s protocol may evolve over time. The community could propose changes to address the economic incentives for miners, ensuring the network remains secure and efficient.

Understanding Bitcoins supply is key to understanding the value of Bitcoin. The cryptocurrency is often called ‘digital gold’ due to the fact that the supply is finite and will get more rare overtime.

Once all of the Bitcoins have been mined, the circulating supply is expected to gradually decrease overtime as Bitcoins are lost – this can happen when investors send Bitcoin to incorrect wallet addresses or forget their private keys.

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