🧵 HOW DOES INFLATION REDUCE DEBT BURDEN? 💰
1️⃣ Prices rise → money loses purchasing power
2️⃣ Nominal GDP can grow
3️⃣ Existing fixed-rate debt becomes smaller relative to GDP/income
4️⃣ Savers may lose purchasing power if returns don’t keep up
That’s why some investors look to scarce assets like BTC and Gold as potential inflation hedges. 🟠🥇
But inflation doesn’t automatically make BTC or Gold rise.
#Bitcoin #BTC #Gold #Inflation #Economy
1️⃣ Prices rise → money loses purchasing power
2️⃣ Nominal GDP can grow
3️⃣ Existing fixed-rate debt becomes smaller relative to GDP/income
4️⃣ Savers may lose purchasing power if returns don’t keep up
That’s why some investors look to scarce assets like BTC and Gold as potential inflation hedges. 🟠🥇
But inflation doesn’t automatically make BTC or Gold rise.
#Bitcoin #BTC #Gold #Inflation #Economy
