Halving

Halving describes a procedure that lowers the rate at which new proof-of-work (PoW) cryptocurrencies are issued. The block subsidy given to miners is periodically reduced by half, to be more precise. A cryptocurrency asset will follow a constant rate of issuance until it eventually hits its maximum supply thanks to halving. The halving mechanism makes sure that the cap on the total amount of an asset is reached over time at a predictable rate. The halving of an asset encourages stability over time by ensuring a more steady and predictable market. If the creation of new coins is kept up at this rate indefinitely, it may have caused hyperinflation and considerably more market volatility.