What is the Bitcoin Block Reward?
The Bitcoin block reward (also called the block subsidy) is the amount of new Bitcoin that miners receive for successfully adding a new block to the blockchain. This reward serves as the primary incentive for miners to contribute computing power to secure the network.
When Bitcoin launched in 2009, the block reward was 50 BTC per block. Through a mechanism called "halving," this reward is cut in half approximately every four years (every 210,000 blocks). The current block reward is 3.125 BTC per block.
How to Calculate Block Reward
The block reward at any given block height can be calculated using this formula:
Block Reward = 50 / (2 ^ epoch) BTCWhere:
- epoch = floor(blockHeight / 210,000)
- The initial reward was 50 BTC (epoch 0)
- Each halving doubles the divisor, cutting the reward in half
For example, at block 900,000, the epoch is floor(900,000 / 210,000) = 4, so the reward is 50 / 2^4 = 50 / 16 = 3.125 BTC.
Block Reward History
Bitcoin's block reward has decreased over time through the halving mechanism:
- 2009-2012: 50 BTC per block (Epoch 0)
- 2012-2016: 25 BTC per block (Epoch 1)
- 2016-2020: 12.5 BTC per block (Epoch 2)
- 2020-2024: 6.25 BTC per block (Epoch 3)
- 2024-2028: 3.125 BTC per block (Epoch 4) - Current
- 2028-2032: 1.5625 BTC per block (Epoch 5) - Next
This halving process will continue until approximately 2140, when the block reward will become negligible (less than 1 satoshi) and all 21 million Bitcoin will have been mined.
Miner Revenue Beyond Block Rewards
While block rewards are the primary source of miner revenue, miners also earn transaction fees from each block they mine. As block rewards continue to decrease, transaction fees become an increasingly important part of miner economics.
Currently, transaction fees typically account for 1-5% of miner revenue per block, though this can spike during periods of high network congestion.
Frequently Asked Questions
What is the current Bitcoin block reward?
The current Bitcoin block reward is 3.125 BTC per block. This has been the reward since the April 2024 halving (block 840,000). The next halving will reduce it to 1.5625 BTC around 2028.
How often does the block reward halve?
The block reward halves every 210,000 blocks, which is approximately every 4 years. This is hardcoded into Bitcoin's protocol and cannot be changed. There have been four halvings so far: 2012, 2016, 2020, and 2024.
How many Bitcoin are created per day?
With the current reward of 3.125 BTC and approximately 144 blocks mined per day, about 450.0000 BTC are created daily. This equals roughly 164250.0000 BTC per year.
What happens when all Bitcoin are mined?
When all 21 million Bitcoin have been mined (around 2140), miners will no longer receive block rewards. They will instead earn revenue solely from transaction fees. By then, transaction fees are expected to be sufficient to maintain network security.
How much BTC has been mined so far?
Approximately 19,600,000 BTC have been mined so far, representing about 93.33% of the total supply. Only about 1.4 million BTC remain to be mined.
Why is there a block reward?
The block reward incentivizes miners to contribute computing power (hashrate) to secure the Bitcoin network. Without this incentive, there would be no reason for miners to spend electricity solving proof-of-work puzzles, and the network would be vulnerable to attacks.
How do I calculate total BTC mined at any block?
Sum the rewards for each epoch: For each complete epoch, multiply 210,000 blocks by that epoch's reward. For a partial epoch, multiply the remaining blocks by the current reward. Use our calculator above for instant results.
What is a halving epoch?
A halving epoch is a period of 210,000 blocks during which the block reward remains constant. Epoch 0 had 50 BTC rewards, Epoch 1 had 25 BTC, and so on. We are currently in Epoch 4 with 3.125 BTC rewards.
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