Block reward
What a miner receives for a valid block: newly created bitcoin (the subsidy) plus the fees of all transactions in the block. The subsidy halves every 210,000 blocks; on 20 April 2024 it fell to 3.125 BTC.
Alsoblock subsidysubsidymining rewardcoinbase transaction
On the learning path: Stage 2 · Step 2 – Halving & 21 million
The block reward is the payment for successful miningGlossaryMiningThe process in which specialised computers create new blocks using proof of work. In doing so, miners confirm transactions and are rewarded with newly created bitcoin plus the fees of the transactions in the block.In the glossary →. The miner enters it in the first transaction of their block, the coinbase transaction (which has nothing to do with the exchange of the same name).[2]
Two components
- Subsidy: newly created bitcoin – the only source of new bitcoin. It started in 2009 at 50 BTC per block and halves every 210,000 blocks at the halvingGlossaryHalvingEvery 210,000 blocks – roughly every four years – the number of new bitcoin per block is cut in half. The fourth halving, on 20 April 2024, reduced it from 6.25 to 3.125 BTC.On the learning path: Stage 2 · Step 2 – Halving & 21 million →In the glossary →; it is currently 3.125 BTC. Because amounts are calculated in whole satoshis, it falls to zero from block 6,930,000, expected around the year 2140.[1]
- Fees: the sum of the transaction feesGlossaryTransaction fee (network fee)The amount a Bitcoin transaction pays to the miner. It depends on the transaction’s size in vbytes and the fee rate offered – not on the amount you send.On the learning path: Stage 5 · Step 4 – First withdrawal →In the glossary → of all transactions in the block.
If a miner claims more than allowed, their block is invalid.[2] The miner can spend the reward 100 blocks later at the earliest – in case their block is pushed out by a competing chain after all.[3]
How much do fees contribute?
Not much at present. In the 144 blocks up to 28 September 2026, roughly one day, miners received around 452.6 BTC: 450 BTC in subsidy and just over 2.6 BTC in fees, or just under 0.6%.[4]
Because the subsidy shrinks with every halving, fees will have to carry more in the long run. Whether that will pay for the network’s security sufficiently is an open question among experts. The issuance schedule is shown in The halving & the 21 million.
Related terms
These terms are closely connected.
- This termBlock reward
- MiningThe process in which specialised computers create new blocks using proof of work. In doing so, miners confirm transactions and are rewarded with newly created bitcoin plus the fees of the transactions in the block.
- HalvingEvery 210,000 blocks – roughly every four years – the number of new bitcoin per block is cut in half. The fourth halving, on 20 April 2024, reduced it from 6.25 to 3.125 BTC.
- Transaction fee (network fee)The amount a Bitcoin transaction pays to the miner. It depends on the transaction’s size in vbytes and the fee rate offered – not on the amount you send.
- 21 million (Bitcoin’s supply cap)Under the network’s rules, there will never be more than just under 21 million bitcoin. The cap follows from the issuance schedule: new bitcoin per block halve every 210,000 blocks until none are created, around 2140.
- Proof of workThe method by which miners prove that they have done real computing work for a new block. It lets the network agree on the valid chain without a central authority, and makes rewriting old blocks extremely expensive.
Explained in depth
These articles go into more detail:
- Deep dive · Stage 1Mining & proof of workHow Bitcoin mining works: the hash puzzle, difficulty adjustment, rewards, pools and energy – and why mining at home doesn’t pay in Germany.
- Stage 2 · Step 2Halving & 21 millionWhy there will never be more than 21 million bitcoin: the issuance schedule, every halving by block height, MAX_MONEY in the code and the 2010 overflow bug.
More from „Technology“
Sources4 sources · 3 publishers
The superscript numbers in the text refer to these sources.
- Bitcoin Core source code: src/validation.cpp (GetBlockSubsidy) – Bitcoin Core (GitHub) (accessed 28/09/2026)
- Developer Reference: Block Chain (Block Headers) – bitcoin.org Developer Documentation (accessed 28/09/2026)
- Bitcoin Developer Guide: Block Chain – bitcoin.org Developer Documentation (accessed 28/09/2026)
- mempool.space API: rewards for the last 144 blocks (blocks 968,881–969,024) – mempool.space, 28.09.2026 (accessed 28/09/2026)
This entry is for education only and is not investment, tax or legal advice.