Transcript:
There's going to be 21 million Bitcoins in the world and only 21 million. Here's the thing: 19 million have already been made, which means there's only 2 million that will be made, and they’ll be made over the next hundred years. They get made by a bunch of computers running the same computer program. And the Bitcoin only exists on the internet. They used to not to be worth very much probably because no one knew what they were. now they're worth more and maybe someday they'll be worth even more.

First, let's just assume that you and I know what a Bitcoin is. Let's talk about where they come from. It's a computer program it's set in code and won’t be changed. The code says that only 21 million whole Bitcoins can ever be made. The easiest way to think of how they're made is that there’s a contest that happens every 10 minutes. And if you guess the right number, you get a reward of a very specific amount of Bitcoin. So, people run supercomputers and the supercomputers race to make guesses. And the first one that gets the guess right gets a reward of Bitcoin, and remember that someone gets awarded every 10 minutes.

Now this reward system started 13 years ago and it started at 50, but then four years later, it got cut in half to 25. And then four years after that, it went to 12 and a half. And now it's six and a quarter 6.25, and it'll keep getting smaller and smaller, cut in half every four years until about the year 2140.

Remember, there’s only 21 million that will ever be made and almost 19 million Bitcoin have been made already. So there's only a little bit more than 2 million that are left to be made. So for the next hundred years, um, there's just going to be little less and less and less and less and less made. So that way we know exactly how many Bitcoin there will ever be and how many will be out in the world. And the code ensures that no other Bitcoin can be made.

We call it Bitcoin’s programmatic supply.

So think if you're not going to be able to get a reward and you want to use one, then you're going to have to buy one from someone. Or if you have a couple of them, then you could sell one to someone else.

The question is how many Bitcoins will there ever be? Think of this, Bitcoin is a computer program. It's code. Only 21 million whole Bitcoins can ever be made. Or you've probably heard the term mined, mining Bitcoin, that's based on like someone mining for gold. The way that happens is there are thousands of supercomputers. We call them ASICs - thousands of super computers racing - and every 10 minutes, there's a new “contest,” what we call a block, but think of it like a contest And, these supercomputers are basically guessing. They're trying to guess at a code and every time a computer gets the code, right. Which happens every 10 minutes that computer’s owner gets a reward for a very specific amount of Bitcoin.

When Bitcoin started in 2009, every time there was an award, remember every 10 minutes, 50 Bitcoin would be rewarded and the way that the computer code works is that that number of Bitcoin rewarded cuts in half, every approximately four years. So it's gone from 50 to 25 to 12.5 to 6.25. That's where it is right now. It'll be there for about another three years. Because of all this in the past 13 years, Today, there's been 18.9 million Bitcoin made so far. And remember, the code says that only 21 million can ever be made. That means there's only about 2.1 million left to ever be made or mined. And it's a code that can't be changed. So unlike the governments who can print more and more money. There won't be more Bitcoin. It'll only be 21 million. So the only way to ever get one is to either mine it and get a reward or buy it from someone else.

That's what Bitcoin's Programmatic Supply is all about.