The Bitcoin process that periodically cuts the mining reward in half is called the halving.
A halving reduces the number of new bitcoins awarded to the miner that successfully adds a block. Bitcoin’s protocol schedules this reduction after every 210,000 blocks, which is roughly every four years, although the exact calendar interval varies with mining conditions. The mechanism slows new issuance while preserving the network’s predictable supply schedule.
The first subsidy was 50 bitcoins per block. It fell to 25 in 2012, 12.5 in 2016, 6.25 in 2020, and 3.125 in 2024. These figures describe the block subsidy, not transaction fees, which can also compensate miners.
A halving does not automatically double bitcoin’s price, and it does not destroy coins already held by users. Its direct effect is on future issuance. The decreasing subsidy is one reason Bitcoin is often compared with a scarce asset, although market prices depend on many other factors, including demand and regulation.