How Is a Change in Bitcoin’s Difficulty Calculated and Implemented?
Bitcoin's difficulty adjusts every 2,016 blocks, which is approximately every two weeks, assuming a 10-minute block time. The adjustment algorithm compares the actual time taken to mine the previous 2,016 blocks against the target time (20,160 minutes).
If the blocks were mined faster, difficulty increases; if slower, it decreases. This ensures a consistent issuance schedule regardless of the total hash power on the network.
Glossar
Consistent Issuance Schedule
Schedule Integrity ⎊ A Consistent Issuance Schedule refers to the predictable and transparent timeline governing the introduction of new units of a cryptocurrency into the circulating supply, typically defined by the block reward mechanism.
Bitcoin Difficulty
Mechanism ⎊ Bitcoin Difficulty represents the computational hurdle miners must overcome to validate a new block and receive the block reward.