Investment Q&A

Built into bitcoins code is a technical event that occurs roughly every four years called the 'halving'. Bitcoin is built to be a simple function of supply and demand. In its code, there will only ever be 21 million coins, and every four years the 'halving' cuts in half the number of bitcoin that can be mined per day. Currently, 900 bitcoin are mined every day across the globe, no more, no less. Around April 2024 when the halving takes place, this number reduces to 450 bitcoin per day, and so on and so forth every four years until 21 million have been mined (~100 years from now).

This function of gradually diminishing new supply on the market theoretically increases the value of current bitcoin in existence, as it becomes harder to buy/mine 'new coins'. Historically, the price of bitcoin has moved higher following halving events as it involves some execution risk (event only occurs every four years) and the new sell pressure on the market is cut in half. If this occurs again, GLXY is likely to benefit from a higher bitcoin price. There is news that the SEC continues to work with companies that filed for bitcoin ETFs and this indicates forward progress. Galaxy and Invesco have joint-filed for a spot Bitcoin ETF, and the ticker is currently set to be 'BTCO'.