Purchasing Power: Why It Drops

We measure money by numbers ($100), but we should measure it by purchasing power (what it buys).

In 1920, $20 could buy a custom-tailored suit, a nice pair of shoes, and a hotel stay.

Today, $20 buys you a burger and fries.

The number is the same ($20), but the purchasing power has collapsed.

This is the hidden cost of inflation. It creates an illusion. You might get a 2% raise at work, so you feel richer. But if inflation is 5%, you are actually 3% poorer than last year.

This is why saving in cash is dangerous. You are guaranteed to lose value over time.

Bitcoin is designed to increase purchasing power. As adoption grows and supply stays fixed, 1 BTC has historically been able to buy more goods over time, not less. It flips the script on the slowly dying dollar.