Inflation is solely caused by the growth in money supply irrespective of what a group of people consider to be money, eg. Shells, camels, gold, fiat currency and crypto-currency.

Inflation reduces the value (and purchasing power) of the money you earned through personal effort or the application of your capital (assets) in the past.

The inflation of fiat currency, both issued and sponsored by most governments of the world (and monetary unions), irrespective of political ideology is one of the greatest crimes against humanity. The actions of governments, in this respect, is also one of the major contributors to poverty in the world leading to the concentration of “perceived” wealth in the few.

Gold is a form of money. Gold’s worldwide supply has over thousands of years increased at a rate of around 2%; however, its availability to many people of the world is limited, to maybe owning a piece of jewellery. Thus its limited worldwide supply results in it being a reliable store of value. In the future, should we find an abundance of gold that is relatively easy to extract and process, its store of value would be affected.

Crypto-currencies, in the main have excessively large supplies that can be added to by a decision of a few people, albeit they are universally available to the masses.

Bitcoin, is a crypto-currency found upon work, being the energy consumed in mining, its total future supply is limited to 21 million BTC. Technically and practically it is available to everyone in the world. Its present inflation rate is 0.84% per annum and this will decrease into the future.

Bitcoin is the money of the future, it is the money of the people and will ultimately be deflationary. Deflation in contrast to inflation adds value to the money you hold, increasing your purchasing power.

Roll on the Bitcoin revolution and introduction as a standard for money!