The #inflation rate of Bitcoin 🥇is currently 3.82%

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The #inflation rate of Bitcoin 🥇is currently 3.82% , but in #May of #2020 the rate will only be 1.8%.

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We know this because unlike current #fiat monetary 💵 systems, #Bitcoin has deterministic currency issuance.

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Fiat monetary systems rely on the opinions of #politicians 🕴🏻(setting interest rates and money printing🖨) and #banks 🏦(through fractional reserve lending) to determine how much inflation (new money) enters the system.

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The #problem with this is that politicians 🕴🏻can make decisions based on what will make them look 👀 #good while they are in office, but not actually good for the #economy in the long run as leads to misallocation of resources such as capital investment 📉. In the worst cases, the country ends up with #hyperinflation where the money becomes #worthless . 🧨

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Bitcoin on the other hand relies on #math ➗and #software 💻 so we know exactly when and how much new Bitcoin 🥇 will be created.

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Currently, every 10 minutes, 12.5 Bitcoins 🥇 are rewarded to a random miner for contributing computing power 💻 to secure the Bitcoin network.

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Every roughly 4 years, the reward is cut in half ➗, thus reducing the inflation rate over time until all 21 millions Bitcoins are mined.

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