Supply Halving
This article introduces the mining halving rules of the MVC blockchain.
What is Halving?
Taking Bitcoin's halving as an example:
Bitcoin mining rewards refer to the number of Bitcoins a miner receives when a block is mined (newly created Bitcoins, not including transaction fees). Bitcoin's mining reward halving is designed to control the issuance rate of Bitcoin to maintain its scarcity. As the issuance rate of Bitcoin halves exponentially, the total number of Bitcoins will gradually approach 21 million.
On the Bitcoin blockchain, every 210,000 blocks generated triggers a halving event in which the network's block reward to miners is halved. This occurs approximately every four years. The halving event is intended to control the supply of Bitcoin, making it gradually decrease to prevent inflation and increase scarcity.
Miner Rewards: In the early days of the Bitcoin network, miners received 50 Bitcoins as a reward for each block. After the first halving in 2012, the reward was reduced to 25 Bitcoins. The second halving in 2016 further reduced it to 12.5 Bitcoins, and the third halving in 2020 brought it down to 6.25 Bitcoins.
Time Interval: A Bitcoin block is generated approximately every 10 minutes, so 210,000 blocks take about 4 years to complete.
Future Halving: The halving event will continue until the block reward approaches zero.
Calculation of the 21 Million Limit
Below is a detailed table of each halving stage for Bitcoin:
Stage 1
50
210,000
10,500,000
Stage 2
25
210,000
5,250,000
Stage 3
12.5
210,000
2,625,000
Stage 4
6.25
210,000
1,312,500
Stage 5
3.125
210,000
656,250
Stage 6
1.5625
210,000
328,125
Stage 7
0.78125
210,000
164,062.5
Stage 8
0.390625
210,000
82,031.25
Stage 9
0.1953125
210,000
41,015.625
Stage 10
0.09765625
210,000
20,507.8125
Stage 11
0.048828125
210,000
10,253.90625
Stage 12
0.0244140625
210,000
5,126.953125
Stage 13
0.01220703125
210,000
2,563.4765625
Stage 14
0.006103515625
210,000
1,281.73828125
Stage 15
0.0030517578125
210,000
640.869140625
Stage 16
0.00152587890625
210,000
320.4345703125
Stage 17
0.000762939453125
210,000
160.21728515625
Stage 18
0.0003814697265625
210,000
80.108642578125
Stage 19
0.00019073486328125
210,000
40.0543212890625
...
...
...
...
Stage 29
0.000000186264514923095703125
210,000
0.03911554813385009765625
Stage 30
0.0000000931322574615478515625
210,000
0.019557774066925048828125
Stage 31
0.00000004656612873077392578125
210,000
0.0097788870334625244140625
The total supply is: 21,000,000 Bitcoins.
This demonstrates that the total supply of Bitcoin is indeed 21 million, achieved through the above halving mechanism.
MVC Blockchain Halving Rules
Due to MVC adopting a POW+POB hybrid consensus mechanism, halving only applies to POW mining rewards (35%), while POB rewards are not affected by halving. According to MVC's white-paper, the halving rules for MVC are as follows:
Total POW Issuance
7,350,000
Halving Block Count
147,000
Estimated Halving Interval
1,000 days
Initial Issuance Amount
25 space
MVC Halving Rule Calculation
We can calculate the total production of Space using a method similar to Bitcoin. The initial reward for Space is 25, halving every 147,000 blocks.
Calculation of Space Amount for Each Stage:
Below is a detailed table of each halving stage for Space:
Stage 1
25
147,000
3,675,000
Stage 2
12.5
147,000
1,837,500
Stage 3
6.25
147,000
918,750
Stage 4
3.125
147,000
459,375
Stage 5
1.5625
147,000
229,687.5
Stage 6
0.78125
147,000
114,843.75
Stage 7
0.390625
147,000
57,421.875
Stage 8
0.1953125
147,000
28,710.9375
Stage 9
0.09765625
147,000
14,355.46875
Stage 10
0.048828125
147,000
7,177.734375
Stage 11
0.0244140625
147,000
3,588.8671875
Stage 12
0.01220703125
147,000
1,794.43359375
Stage 13
0.006103515625
147,000
897.216796875
Stage 14
0.0030517578125
147,000
448.6083984375
Stage 15
0.00152587890625
147,000
224.30419921875
Stage 16
0.000762939453125
147,000
112.152099609375
Stage 17
0.0003814697265625
147,000
56.0760498046875
Stage 18
0.00019073486328125
147,000
28.03802490234375
...
...
...
...
Stage 28
0.000000186264514923095703125
147,000
0.027380883693695068359375
Stage 29
0.0000000931322574615478515625
147,000
0.0136904418468475341796875
Stage 30
0.00000004656612873077392578125
147,000
0.00684522092342376708984375
Stage 31
0.000000023283064365386962890625
147,000
0.003422610461711883544921875
The total supply is approximately: 7,350,000 Space.