The second so-called Bitcoin “block halving” is fast approaching. This week, as three-quarters of all bitcoins have been mined, the block subsidy will decrease from 25 bitcoins per block to 12.5. A key event in Bitcoin’s history, eagerly anticipated by some – and perhaps somewhat feared by others.
More than anyone else, Bitcoin miners stand to be affected by the event: producing blocks is their business and the block reward presents the major chunk of their revenue. Having spoken to BTCC COO, Samson Mow, and BitFury CEO, Valery Vavilov, last week , Bitcoin Magazine reached out to other miners to see how they are preparing for the upcoming halving.
What do AntPool ‘s Jihan Wu, Genesis Mining ‘s Marco Krohn, HaoBTC ‘s Eric Mu and Slush Pool ‘s Marek Palatinus expect of the halving?
Optimism
Much like BTCC’s Mow and BitFury’s Vavilov, all miners Bitcoin Magazine spoke with are approaching the upcoming halving with a general sense of optimism. While a halving of the subsidy cuts directly into their revenue stream, miners recognize this is key to Bitcoin’s value proposition.
Wu is the co-founder of Chinese ASIC manufacturer, Bitmain, which also runs AntPool, the second largest mining pool in the world, controlling some 20 percent of total hash power. Speaking to Bitcoin Magazine , Wu said he expects the Bitcoin price to rise as a result of the halving.
“Bitcoin’s monetary policy is not perfect but it delivers on its promise. Delivering promise is very difficult for a monetary bureau or a central bank,” Wu said. “I believe the halving will have a very positive impact as the new supply will be much less than before. Logical analysis does not necessarily lead to a doubling-of-price conclusion but I do see the anticipation of the market having a positive impact on the price.”
Mu, CMO […]
