Bitcoin's circulating supply currently stands at 19.81 million coins, which is about 94.3% of its maximum limit of 21 million. New bitcoins enter circulation every 10 minutes through mining, adding roughly 900 coins per day. Many bitcoins have been permanently lost due to forgotten passwords and other issues, so the actual number of usable coins is lower. There's much more to understand about Bitcoin's unique supply mechanics and future projections.
With new bitcoins being created every 10 minutes, keeping track of Bitcoin's circulating supply is a moving target. As of January 24, 2025, there are 19.81 million bitcoins in circulation, which represents about 94.3% of the total supply that will ever exist. The circulating supply grows steadily, with 6.25 new bitcoins added every 10 minutes, resulting in approximately 900 new coins entering circulation each day. The supply has maintained consistent stability levels from January 4th through January 7th, 2025.
Bitcoin's design includes a hard cap of 21 million coins, with the last bitcoin expected to be mined around the year 2140. This means there are still roughly 1.19 million bitcoins left to be mined. The precise total that will ever exist is 20,999,999.9769 bitcoins. Over the past year, the circulating supply increased by 1.06%, showing the gradual nature of new bitcoin creation.
The rate at which new bitcoins enter circulation isn't constant. It's controlled by a process called halving, which occurs every 210,000 blocks, or approximately every four years. Currently, miners receive 6.25 bitcoins as a reward for each block they mine. The next halving event is expected in 2024, which will reduce the block reward to 3.125 bitcoins. This system guarantees that new bitcoins are introduced into circulation at a decreasing rate over time. Unlike traditional currencies that can be printed indefinitely, Bitcoin's scarcity mechanism helps maintain its value through programmed supply control.
It's important to note that the actual number of bitcoins available for use is likely lower than the total amount mined. Many bitcoins have been permanently lost due to various reasons, such as forgotten private keys, deceased owners who didn't share their access information, or errors in handling the digital currency.
While it's impossible to know the exact number of lost bitcoins, experts estimate that millions of coins are permanently out of circulation.
The combination of Bitcoin's capped supply, the halving schedule, and the permanent loss of some coins creates a deflationary system. The mining difficulty adjusts automatically to maintain the 10-minute average block time, ensuring a predictable rate of new bitcoin creation.
This predictability, combined with the known maximum supply, makes Bitcoin's circulating supply one of the most transparent aspects of any currency system. The gradual decrease in new bitcoin creation, coupled with the permanent loss of some coins, contributes to Bitcoin's scarcity and its potential value proposition as a digital asset.
Frequently Asked Questions
What Happens to Lost or Stolen Bitcoin?
Lost or stolen bitcoin basically stays frozen on the blockchain forever.
When someone loses their private keys or gets their bitcoin stolen, they can't access or spend those coins anymore.
It's like having a bank vault with no key – the money's there, but no one can get to it.
These lost coins make Bitcoin even more scarce since they're permanently out of circulation and can't be recovered or replaced.
How Does Bitcoin Mining Difficulty Affect the Creation of New Coins?
Bitcoin mining difficulty works like a thermostat for new coin creation.
When more miners join the network, it gets harder to mine blocks, slowing down how fast new bitcoins are made. The system automatically adjusts every two weeks to keep blocks coming every 10 minutes.
It doesn't change how many bitcoins are created per block, but it does control how fast miners can find them.
Can Governments Regulate or Restrict Bitcoin Circulation?
Governments can't fully control Bitcoin due to its decentralized design, but they can restrict how people buy, sell, and use it.
They're able to regulate cryptocurrency exchanges, impose taxes, and limit banking services for crypto businesses.
While it's tough to stop peer-to-peer Bitcoin transfers, governments can make it harder to convert Bitcoin to traditional money.
Some countries have banned crypto completely, while others are creating rules to manage it.
Why Does Bitcoin Have a Maximum Supply of 21 Million?
Bitcoin's 21 million limit was set by its creator, Satoshi Nakamoto, as a way to make it different from regular money that governments can print endlessly.
It's designed to be scarce, like gold. The limit helps control inflation since there won't ever be more than 21 million bitcoins.
The supply increases slowly through mining, and every four years, the amount of new bitcoins created gets cut in half.
How Do Bitcoin Halvings Impact the Cryptocurrency's Scarcity?
Bitcoin halvings make the cryptocurrency scarcer by cutting the number of new bitcoins created in half every four years.
It's like turning down a faucet – less bitcoin flows into circulation. When miners receive fewer bitcoins for their work, there's a smaller supply of new coins entering the market.
Since bitcoin's total supply is limited to 21 million, each halving brings it closer to that final number, increasing its scarcity.
