Bitcoin pioneer Charlie Shrem takes a nostalgic journey back to the 2012 Bitcoin halving. In his role as co-creator of the Bitcoin Foundation, Shrem delves into the concerns he and his colleagues once shared during that seminal event. Now, he shares these reflections with the present-day crypto community, initiating discussions on Bitcoin’s remarkable evolution since then.
Fourth Bitcoin Halving is Expected to Increase Scarcity
In a recent post, Bitcoin pioneer Charlie Shrem reflects on the first Bitcoin halving in November 2012, revealing initial apprehension despite outward positivity. The fourth Bitcoin halving is expected to increase scarcity by reducing block rewards.Â
Always gets quiet around the #bitcoin halving. I remember the first in 2012, Nov 28th reduced the first block reward from 50 to 25. Here is a pic from that day. We are all smiles secretly we weren’t sure if this first halving would work. Can you guess the early bitcoiners? pic.twitter.com/fBeTjizNNJ
— Charlie Shrem (@CharlieShrem) April 16, 2024
With each halving, Bitcoin’s deflationary nature grows stronger, slowing the rate of new coins entering circulation. Furthermore, the finite supply of Bitcoin is highlighted, with the last coin projected to be mined in 2040.
However, amidst anticipation of the halving, Bitcoin’s value has sharply declined over the past week, dropping more than 10% from nearly $71,000 to $63,513. This downturn is attributed to adverse geopolitical events in the Middle East and statements by Fed Reserve chairman Jerome Powell regarding inflation.Â
“The recent data have clearly not given us greater confidence, and instead indicate that it’s likely to take longer than expected to achieve that confidence.” Jerome Powell said.
Investors closely monitor these factors as Bitcoin continues navigating through volatile market conditions.
