Purchasing Power

Most people think of Bitcoin as an asset class, like stocks or real estate. But strip away the financial jargon, and at its core, Bitcoin is about purchasing power—the real measure of wealth.

Let’s keep it simple: Imagine you have $90,000 sitting in your savings account today. You check back in two years, and while your balance still shows $90,000, your ability to purchase goods and services has declined. Inflation has silently eaten away at your wealth. The cost of rent, food, travel, and everyday expenses has risen. That dream car? That down payment on a home? They’re now further out of reach.

Now, consider an alternative. You store that same $90,000 in Bitcoin. Over the same two-year period, while your savings account struggled to keep up with inflation, Bitcoin’s purchasing power likely increased. Why? Because Bitcoin has a fixed supply, while dollars are printed endlessly. As governments print more money, each dollar in circulation loses value. Meanwhile, Bitcoin remains scarce—only 21 million will ever exist—making it increasingly valuable over time.

We’ve already seen this play out in real time. Two years ago, if you held $90,000 in Bitcoin, that might have been around 2 BTC. Fast forward, and that same Bitcoin could now be worth significantly more in dollar terms. But more importantly, its purchasing power has expanded—whether for real estate, travel, or goods—while your dollars have stagnated, barely earning a fraction of a percent in interest.

The lesson? Holding dollars is like holding melting ice. It looks solid at first, but over time, it disappears. Bitcoin, on the other hand, acts as a lifeboat in an ocean of inflation.

If wealth is about what you can buy, not just what numbers appear on a screen, then Bitcoin is proving to be the better store of value. It’s not just an asset—it’s financial sovereignty.