Part 7/11:
- Enforces a strict limit of 21 million coins—no more, no less
This limit is hardcoded into Bitcoin’s code, making it impossible for anyone to inflate the supply artificially. If someone tries to counterfeit or create more Bitcoin, the network rejects their attempt, ensuring transparency and security.
How Does Bitcoin Work?
Each Bitcoin owner holds a private key—a highly secure digital password—that allows them to spend or transfer their coins. The ownership records are copied synchronously across all Bitcoin nodes, creating a decentralized ledger called the blockchain. This system guarantees that the total supply will never exceed 21 million coins, as mandated by the code itself, and any attempt to alter this rule is rejected by the network.