Monero defies Gresham's Law: The Monero Paradox

Gresham’s Law states that “bad money drives out good.”

When two forms of money coexist, people tend to spend the one they perceive as worse and hoard the better one.

Classic example: when gold coins and paper notes circulated together, people spent the paper and hid the gold.

That’s where Monero’s paradox appears.

Monero is, in many ways, better money than Bitcoin:

─It’s more fungible — every unit is identical and untraceable.

─It has default privacy, making it genuinely usable as money.

─The Tail emission ensures long-term stability and miner incentives without risking collapse.

But it’s also worse money in the speculative sense.

It doesn’t attract traders or funds because of its #privacy, and its price doesn’t skyrocket during bubbles — its value lies in real-world utility, not hype.

So #Monero challenges Gresham’s Law:

people neither hoard it out of greed nor spend it out of fear — they use it because it works.

For the next 16 years, it will even be scarcer than Bitcoin, yet its design favors circulation over accumulation.

In short:

Monero is Bitcoin perfected — money stripped of financial fetishism, restored to its true purpose: the exchange of value.