Bitcoin: Deflationary by Design with 21 Million Cap
bitcoin is deflationary by design: supply capped at 21 million coins, halving events reduce new issuance, and diminishing inflation contrasts fiat systems with adjustable money supply.
Capitalizations Index – B ∞/21M
bitcoin is deflationary by design: supply capped at 21 million coins, halving events reduce new issuance, and diminishing inflation contrasts fiat systems with adjustable money supply.
bitcoin is called ‘digital gold’ because its 21 million cap and predictable issuance create scarcity akin to gold. Decentralization, divisibility and durability support its role as a digital store of value.
Hyperbitcoinization describes a rapid shift to bitcoin as the dominant global currency, driven by network effects, monetary policy contrasts, and adoption incentives, reshaping finance, trade, and savings worldwide.
bitcoin’s value rests on three pillars: coded scarcity via a 21 million supply cap, cryptographic security protecting transactions, and growing utility as a borderless programmable store of value and medium of exchange.
bitcoin differs from traditional money by being decentralized (no central authority), borderless (global, permissionless transfers), and finite (21 million cap), reshaping value transfer and monetary policy.
bitcoin’s value rests on capped supply (21M), robust cryptographic security and proof-of-work, and a growing network effect-users, exchanges and infrastructure that enable liquidity and trust.