Bitcoin halving refers to the event when the block reward for Bitcoin miners is reduced by half. It is also known as "Halving." In the Bitcoin network, whenever miners successfully validate a batch of transactions and add them to the blockchain, they are rewarded with a certain amount of newly minted Bitcoins. However, the supply of Bitcoin is limited, so the reward amount is halved at regular intervals.

Bitcoin halving occurs every 210,000 blocks, which is approximately every four years. Specifically, the block reward started at 50 Bitcoins in the genesis block, halved to 25 Bitcoins after the first halving event, and subsequently halved to 12.5 Bitcoins. The most recent halving took place in April 2024, and the final Bitcoin is expected to be mined in the year 2140.

Bitcoin halving has significant implications for the Bitcoin ecosystem and market:
Supply reduction:

Bitcoin halving reduces the number of newly minted Bitcoins in each block, thereby slowing down the growth rate of Bitcoin's supply. This decrease in the supply of new Bitcoins may lead to changes in the supply-demand dynamics.
Decreased inflation rate:

With reduced supply, Bitcoin's inflation rate also decreases. This may increase the scarcity of Bitcoin, which can have a positive impact on its price.
Reduced mining rewards:

After the halving, miners receive half the amount of Bitcoin as a reward. This can affect the economic incentives for miners and may result in some miners exiting or reducing their mining activities.
Mining profitability and hash rate dynamics:

After halving, miners need to sustain their earnings through other means, such as increasing transaction fees or seeking more efficient mining equipment. This can lead to changes in hash rate (mining computational power), which can impact the network's security and transaction confirmation speed.

Overall, Bitcoin halving is a significant event in the Bitcoin economic model, impacting the supply, inflation rate, price, and mining ecosystem of Bitcoin.