blockchainreporter
  • News
    • Altcoins
    • Bitcoin
    • Blockchain
    • Ethereum
    • Adoption
    • NFT
    • DeFi
    • Metaverse
  • Education
  • Glossary
  • Advertise
No Result
View All Result
BET NOW
blockchainreporter
  • News
    • Altcoins
    • Bitcoin
    • Blockchain
    • Ethereum
    • Adoption
    • NFT
    • DeFi
    • Metaverse
  • Education
  • Glossary
  • Advertise
No Result
View All Result
blockchainreporter
BET NOW
No Result
View All Result
Bitcoin
BTC
1d:
7d:
Ethereum
ETH
1d:
7d:
Polkadot
DOT
1d:
7d:
Solana
SOL
1d:
7d:
Ripple
XRP
1d:
7d:
Shiba INU
SHIB
1d:
7d:

Bitcoin’s Inflation Rate Three Times Lower than U.S. Dollar’s

Max Clark by Max Clark
March 4, 2023 - 2:39 pm
in bitcoin news, Market
0
bitcoin
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter

The Significance of Bitcoin’s Decreasing Inflation Rate

The inflation rate of Bitcoin has fallen significantly over the years and is now at least three times lower than that of the United States dollar (USD). With over 90% of BTC in circulation, the cryptocurrency’s inflation rate has dropped due to its fixed supply of 21 million BTC. The inflation rate decreases after every four years during the halving event, and as a result, it has been steadily declining since its inception in 2009. As of March 4, Bitcoin’s inflation rate stands at 1.79%, while the annual inflation rate of the USD in 2023 is at 6.4%.

Bitcoin’s Deflationary Model and Halving Events

Bitcoin’s deflationary model determines its inflation rate, which decreases post-halving events. The inflation rate is determined by the reward system for miners, which is split in half with each halving event. During the halving event, Bitcoin rewards for miners are reduced by half, and the number of Bitcoins produced through mining is halved, with the next event estimated to take place in May 2024.

The USD’s Inflation Rate and Bitcoin’s Decentralized Nature

In contrast, the USD’s inflation rate will likely rise as the currency’s value decreases over time due to excessive printing and the diminishing purchasing power of each dollar. Experts have also opined that Bitcoin’s inflation rate remains lower due to its decentralized nature, meaning the cryptocurrency can circumvent most political and economic risks linked with the USD.

The Debate over the Best Inflation Hedge Investment Option

The contrasting inflation rate between Bitcoin and the USD has sparked a debate over the best investment option and the perfect hedge. Bitcoin proponents argue that BTC is the ideal asset to protect against inflation, but its price has yet to reflect this claim amid rising inflation and interest rate hikes. Despite its potential as an inflation hedge, Bitcoin and the general cryptocurrency market have suffered significant losses amid the broader economic downturn. By press time, BTC was trading at $22,344 and facing threats of retesting lows below $20,000.

Tags: BitcoinBTCCryptocurrencyMarketUSD
ShareTweet
Max Clark

Max Clark

Max Clark is a content writer specialising in the cryptocurrency space. He is very enthusiastic about altcoins, NFTs, and the Metaverse. Max is convinced that the network is capable of replacing the existing global monetary system and granting financial independence to billions of people all over the world. Max loves to go on adventures, play sports, and read books when he has free time outside of work. He has also worked in the financial industry before, so he knows how the world's banking system works and how to deal with clients in the tech and finance industries.

Recommended For You

What Impact Will China Have on Bitcoin and Avorak AI Prices?

by Josh Fernandez
June 6, 2023 - 6:32 pm
0

Explore how China's evolving crypto policy may influence the global Bitcoin market and Avorak AI's prices.

Read more

Coinbase Faces SEC Lawsuit over Unregistered Brokerage Operations

by Mushu Butt
June 6, 2023 - 1:08 pm
0
Coinbase Stock Price Prediction

SEC sues Coinbase for unregistered broker activities following recent action against Binance. The crypto industry faces increased regulatory scrutiny.

Read more

Bitcoin (BTC) Price Prediction – Tradecurve Continues to Surge While Aptos (APT) Struggles

by Josh Fernandez
June 6, 2023 - 12:59 pm
0

Dive into the latest crypto trends: Bitcoin's mining spike, Aptos's struggles, and Tradecurve's promising presale performance.

Read more

These 3 Coins Could Help You Get Ahead of the Bear Market

by Josh Fernandez
June 6, 2023 - 9:29 am
0

Learn about Uwerx as a leading investment alternative for gains in the current bear market. Also, discover BNB, and OKB as 2 additional recommendations to consider.

Read more

Markets Dip Ahead of Binance Wrangle with SEC

by Kester Odero
June 6, 2023 - 8:26 am
0
binance bnb

Today's market session has been rather bearish as markets dip ahead of a CFTC complaint issued on Binance that might have sparked some FUD.

Read more
Next Post
near protocol calimero

Calimero Launches High-Performance Blockchain Infrastructure on Near Protocol

PARTNERS LIST

  • sp
  • Coingecko

PRESS RELEASE

BJaoVqYT

BinaryX and AiGC Labs Developing First AI-Powered Virtual Reality Game on the Metaverse

by Chainwire
June 7, 2023 - 4:06 am
0

Singapore, Singapore, June 7th, 2023, ChainwireBinaryX today announced their plans to expand into Virtual Reality (VR) and Artificial Intelligence Game...

CatalystiuGIbVuck

CoinMarketCap Web3 Conference “Catalyst” Early-Bird Registration Now Open

by Chainwire
June 6, 2023 - 4:48 pm
0

London, United Kingdom, June 6th, 2023, ChainwireCoinMarketCap’s flagship Web3 conference "Catalyst" has opened early-bird registration. The conference will take place...

blockchain wave conference

Blockchain Wave 2023

by Max Clark
June 6, 2023 - 2:47 pm
0

Blockchain Wave 2023: Join us in Antalya, Turkey for the biggest annual blockchain summit, featuring industry-leading speakers, and innovative startups.

photox

Coinbase and OpenSea Struggle to Keep up with HedgeUp (HDUP) Asset Backed NFT Platform

by Max Clark
June 6, 2023 - 12:29 pm
0

Explore HedgeUp's (HDUP) innovative asset-backed NFT platform that's reshaping digital assets and challenging leaders like Coinbase and Opensea.

n

BlockchainReporter is a trusted name in the cryptocurrency and blockchain technology news space, keeping its readers abreast of the latest and most significant trends in the industry.

Here at BlockchainReporter, our team of global writers is dedicated to providing price analysis on leading cryptocurrencies and covering the latest developments pertaining to bitcoin news, altcoins news, blockchain news, NFT news and cryptocurrency adoption news from around the world.

News

  • Altcoins
  • Bitcoin
  • Blockchain
  • Ethereum
  • Adoption
  • NFT
  • DeFi
  • Metaverse

Info

  • Education
  • Glossary
  • Market
  • Press Release

Company

  • About Us
  • Terms & Conditions
  • Advertise
  • Sitemap
  • Contact

@2022 – Blockchainreporter.net. All Right Reserved.

No Result
View All Result
  • News
    • Altcoins
    • Bitcoin
    • Blockchain
    • Ethereum
    • Adoption
    • NFT
    • DeFi
    • Metaverse
  • Education
  • Glossary
  • Advertise