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Bitcoin yet to prove inflation hedge status, but the time may come soon

Published 09/29/2021, 11:41 AM
Updated 09/30/2021, 07:40 AM
Bitcoin yet to prove inflation hedge status, but the time may come soon

For years, the narrative surrounding Bitcoin (BTC) has been one which has portrayed the digital asset as being a hedge against monetary inflation. This is because inflation figures have been on the rise across the board over the last couple of years thanks in large part to governments printing copious amounts of their local fiat assets to counter the financial devastation caused by the COVID-19 pandemic.

To put things into perspective, since the onset of the virus last year, President Biden's stimulus plan has brought America’s total relief-debt tab to $5 trillion. Another way to visualize the immensity of these numbers is by considering that over the course of 2020 alone, the Federal Reserve issued more than 40% of all USD in existence currently.

Not set in stone

A closer look at the anti-hedge argument

All about the long-term game

Looking ahead

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