Questions tagged [inflation]

Valentino Thu Oct 24 2024 | 7 answers 1911

I'm wondering if money inflation is beneficial. I've heard it can have both positive and negative effects on an economy, but I'm not sure how it really works. Can someone explain if inflation is good or bad?

Dreamchaser Wed Oct 16 2024 | 5 answers 1655

I don't understand why cryptocurrency is decreasing in value when inflation is rising. Shouldn't crypto be a hedge against inflation? What's causing this inverse relationship between crypto and inflation?

Caterina Sun Sep 08 2024 | 6 answers 1302

Excuse me, could you explain why 2140 is considered the end of Bitcoin inflation? I understand that the total supply of Bitcoin is capped at 21 million, but I'm curious about the significance of the year 2140. Is it the year when all 21 million Bitcoins will be mined, and after that, there will be no more inflation? Or is there something else I'm missing? I'd appreciate your clarification on this matter.

CryptoNinja Sun Sep 08 2024 | 5 answers 1053

I'm curious to know, are cryptocurrencies truly more resistant to inflation compared to traditional fiat currencies? Considering the finite supply of many cryptocurrencies and the decentralized nature of their systems, could this lead to a more stable value over time, protecting investors from the erosive effects of inflation? And how does this compare to the way governments often manipulate the supply of fiat currencies to influence inflation rates?

CryptoLodestarGuard Fri Aug 30 2024 | 7 answers 1507

Could you elaborate on why the purchasing power of $100 today is greater than what it would be in three years' time? Is it due to inflation, which gradually erodes the value of currency over time? Or is it perhaps related to the potential for economic growth and increased productivity, which could lead to a rise in prices and a corresponding decrease in the real value of $100? How might investors account for this phenomenon when making long-term financial decisions?