<blockquote>
<p>how new coins would be created? Even if there would be no new coins as a principle - where any coins come from? From some initial phase of PoW mining/any other initial distribution?</p>
</blockquote>
<p>Coins would be created the same way as today: from <a href="https://en.bitcoin.it/wiki/Coinbase" rel="nofollow noreferrer">coin base transactions</a>. That coin base transactions include fees and rewards, only fees (in a distant future), or only rewards (in the past), makes not much difference.</p>

CC BY-SA 4.0
2022-11-03T21:39:28.803Z
If there is no subsidy, there are no coins. I think OP is not asking about Bitcoin, but about a hypothetical system which never had any subsidy.
Pieter Wuille
CC BY-SA 4.0
2022-11-04T17:29:20.857Z
Thanks. I'll leave this for a while and later probably delete it.
Mercedes
CC BY-SA 4.0
2022-11-03T21:28:59.797Z
2022-11-03T21:28:59.797Z
Mercedes
<p>I've came across some articles arguing that it is a good idea to have no block reward at all, but I struggle to understand, how this would work.</p>
<p>I understand that the incentive for miners would be just transaction fees; but how new coins would be created? Even if there would be no new coins as a principle - where any coins come from? From some initial phase of PoW mining/any other initial distribution? If so, doesn't it give to much advantage for the early nodes (and therefore discourage others to join)?</p>

CC BY-SA 4.0
2022-11-04T13:42:49.040Z
You should link the articles for context. We can only speculate otherwise about the views expressed in them. In a PoW system, coins are brought into circulation by the block subsidy. If you start at genesis with no subsidy, there would be no coins, and transactions could not exist.
MicroGuy
CC BY-SA 4.0
2022-11-04T17:31:31.397Z
It would be very helpful to reference the articles ._.
Mercedes
<mining-theory>
How the system works when there's no block reward?
mathematician
# How the system works when there's no block reward?

(Asked by: username_0 on 2022-11-03)

I've came across some articles arguing that it is a good idea to have no block reward at all, but I struggle to understand, how this would work.

I understand that the incentive for miners would be just transaction fees; but how new coins would be created? Even if there would be no new coins as a principle - where any coins come from? From some initial phase of PoW mining/any other initial distribution? If so, doesn't it give to much advantage for the early nodes (and therefore discourage others to join)?

**Tags:** mining-theory

> **Comments:**
> **username_1**: You should link the articles for context. We can only speculate otherwise about the views expressed in them. In a PoW system, coins are brought into circulation by the block subsidy. If you start at genesis with no subsidy, there would be no coins, and transactions could not exist.  
> **username_2**: It would be very helpful to reference the articles ._.  

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## 1 answers

### Answer by username_2 on 2022-11-03. Score: 0

> how new coins would be created? Even if there would be no new coins as a principle - where any coins come from? From some initial phase of PoW mining/any other initial distribution?

Coins would be created the same way as today: from [coin base transactions](https://en.bitcoin.it/wiki/Coinbase). That coin base transactions include fees and rewards, only fees (in a distant future), or only rewards (in the past), makes not much difference.

> **Comments:**
> **username_3**: If there is no subsidy, there are no coins. I think OP is not asking about Bitcoin, but about a hypothetical system which never had any subsidy.  
> **username_2**: Thanks. I'll leave this for a while and later probably delete it.  

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