# Reward Mechanism

<figure><img src="/files/QYMCNBemlhsVIhbg4PA7" alt=""><figcaption></figcaption></figure>

The reward mechanism for BSV consists of **block subsidies** and **transaction fees**, which are crucial for network sustainability. Key points include:

* **Block Subsidy**: Initially, miners received substantial rewards (e.g., **50 BTC per block** in 2010). This reward decreases through a process known as **halving**, occurring every **210,000 blocks** (approximately every four years).
* **Transition to Fees**: As block rewards diminish, the focus shifts towards **transaction fees** generated from actual network usage rather than speculative trading.
* **Utility-Driven Model**: BSV emphasizes **real-world applications**, such as sustainability tracking and supply chain auditing, which drive **high transaction volumes**.

This model ensures that miners remain **incentivized**, the network maintains **security**, and businesses can leverage a **scalable blockchain infrastructure** for their operations.


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