Four Cryptocurrency Block Reward Halves To Watch Out For In 2021

0
0

Halving the rewards reduces the rate at which new coins are generated on a given blockchain by 50%. Such events, known jokingly as “halvenings,” have long been anticipated by cryptocurrency traders as catalysts to drive up the price of their cryptocurrency holdings.

Past attempts to predict when the price of Bitcoin (BTC) would rise relative to the halves have proven inconsistent at best. However, few would like to quickly rule out the mechanisms described in the law of supply and demand. All else being equal, as the number of parts available on the market decreases, the demand for those parts – and therefore, the price of each – increases.

With that in mind, here are four cryptocurrency projects that are expected to see halves in the coming year, when their issuance rate is halved.

Yard (XGV)

Verge (XVG) is slated to be halved on January 25 when its chain reaches a block height of 4,700,000. At this point, the current 200 XVG reward that is given to miners every 30 seconds will be reduced to 100 XVG.

ALSO READ  Profit taking? Crypto institutional fund inflows drop 97% in three weeks

With just over 11 days until the halving, it can be assumed that the opportunity to get ahead of Verge’s supply reduction has already passed. However, capitalizing on halving rewards in bulk has never been an exact science, and often a coin doesn’t react to the event until after the fact.

The price of XVG hit an all-time high of $ 0.30 in December 2017, before falling nearly three years to $ 0.001 by 2020. Since the winter surge that propelled Bitcoin to a new all-time high , Verge’s fortunes have turned. The coin saw growth of 219% between November and the time of writing.

Tomochain (TOMO)

Tomochain’s Halving (TOMO) will take place on February 7, when the number of TOMO coins issued each year will drop from 2 million to 1 million.

ALSO READ  Players are still masters of Nvidia, but Ether miners could change that

The Tomochain blockchain has block times of two seconds, and every 900 blocks is an epoch. For each epoch, a total of 250 coins are issued to miners at present. That figure will be halved to 125 pieces in February.

Launched in 2017, Tomochain uses a proof of stake consensus mechanism and is compatible with the Ethereum virtual machine. The upcoming halving will only be the second in the history of the play, and also its last. From then on, TOMO’s issuance rate will remain the same until the coin’s total supply of 100,000,000 is reached.

Vertcoin (VTC)

Vertcoin’s (VTC) block reward halving is slated for December 8, when the number of VTCs issued to miners will be reduced from 25 to 12.5 per block.

Vertcoin was derived from Litecoin (LTC) – itself a fork of Bitcoin – in 2014 in response to the application-specific integrated circuit, or ASIC, machines that were invented for mining Litecoin in the same year. . Vertcoin aims to remain ASIC resistant and can be mined with a GPU.

ALSO READ  Bitcoin Price Now Sits Below 10% Of $ 40,000 After Hitting New Highs

Once a hallmark of the top 100 coins by market cap, Vertcoin now finds itself ranked in the mid-500 after a 98% drop from its all-time high in December 2017.

Ravencoin (RVN)

While technically not expected until January 2022, the Ravencoin First Block Reward (RVN) halving is only 12 calendar months away and the issue rate will be reduced from 5,000 RVN to 2,500 RVN. by block.

Launched in 2018, Ravencoin is geared towards registering and trading real world assets on the blockchain. In 2018, the then little-known project received a surprise investment of “millions of dollars” from the American online retail giant Overstock.

Ravencoin hit an all-time high of around $ 0.08 in June 2019. Today the coin is trading at a price of $ 0.016 – a 48% increase from the recent lows in November 2020.