Why Bitcoin’s inflation model contrasts sharply with gold

[ed]

Bitcoin’s supply does not respond to demand. No matter how high prices rise, the network issues new BTC at a fixed and declining rate, heading toward a hard cap of 21 million coins.

Gold, by contrast, has no such constraint. Higher prices attract more capital into mining, accelerating production and expanding supply. Global gold output has risen steadily for decades, reaching a record 3,672 tonnes in 2025, according to the World Gold Council.

Bitcoin’s annual inflation rate stood near 0.8% at the end of 2025 and is expected to fall further after the next halving in 2028. Advocates argue this makes Bitcoin structurally more resistant to supply dilution — a feature increasingly relevant for long-term treasury and hedge strategies.

[cryptobro]

0.8% inflation rate and falling? no wonder treasury folks are starting to notice btc

[JanEmil]

Other coins waiting on the side. The crypto supply is infinite.