Halving happens automatically when 210,000 "blocks" are created as part of the bitcoin mining process.
The last halving event was in 2020, and the next one is expected sometime in April.
Bitcoin's price has surged 36% since spot bitcoin ETFs were approved on Jan. 10.
The built-in mechanism mimics the scarcity of gold and ensures that bitcoin mining becomes more expensive over time.
"When supply goes down, price goes up, assuming demand remains the same or greater," says Boneparth, who holds investments in bitcoin and other cryptocurrencies.
Persons:
Douglas Boneparth
Organizations:
Bone, CNBC's
Locations:
bitcoin