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2025-04-28 03:33:11

MoneRogue on Nostr: 5 reasons why Monero inflation is not comparable to fiat inflation 1. Monero employs ...

5 reasons why Monero inflation is not comparable to fiat inflation

1. Monero employs a fixed tail emission (0.3 XMR per block) after reaching about 18.3M moneros, creating a linear increase that trends near 0% inflation over time.[1] Fiat does not have such limits, and can be infinitely printed, depending on what the government says. XMR is easier to predict than fiat currencies.

2. Mining of XMR is completely decentralized, meaning no single entity controls production. Fiat is typically printed and controlled by a government, Ex. FRNs in the U.S.

3. XMR's inflation stays as close to 0% as possible and is therefore fairly consistent. On the other hand, fiat is often subject to inconsistent change through factors such as public policy.

4. XMR's indefinite supply is set offset factors such as lost coins from forgotten keys/addresses, while also maintaining an incentive for mining to continue, insuring the network remains active.[2] Fiat can collapse easily from weak governments, and there is no real incentive to keep printing.

5. XMR can be planned years in advance due to linear tail emission.[3] This means there is no sudden concern of wealth transfer when it comes to value of currency like there is with fiat.

[1] https://www.getmonero.org/get-started/faq/#tail-emission
[2] https://www.getmonero.org/get-started/faq/#max-supply
[3] https://localmonero.co/knowledge/monero-better-store-of-value?language=en

#Agorism #Libertarian #Antistate #Monero #XMR #TailEmission #Inflation #Fiat #Decentralization #DeFi
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