What is inflation
Inflation is a large-scale increase in the prices of goods and services, not just an increase in the price of certain items, as defined by the European Central Bank.
When we talk about inflation, we are talking about rising prices, as a result of which we can buy fewer goods and services for 1 USD. In other words, the value of this 1 USD is lower than it was before.
Therefore, an increase in inflation will be reflected:
- The purchasing power of the population
- The total expenditure of the population
Cryptocurrency inflation rate
In recent decades, governments have printed huge amounts of newly created money out of thin air. This led to a reduction in the purchasing power of ordinary fiat currencies. In contrast, most cryptocurrencies increased their buying value. Many cryptocurrencies are hedges against inflation largely due to their scarcity resulting from a fixed coin supply.
When Satoshi Nakamoto created Bitcoin he/she/they set a deflationary policy. Inflation on the Bitcoin network is decreasing with each passing day. After each block reward halving, or approximately every 4 years, Bitcoin inflation decreases by 50% from the previous reward. Most of the newly created cryptocurrencies after Bitcoin also have a decreasing inflation rate.
- Cryptocurrencies are independent of governments.
- Future inflation can be predicted in cryptocurrencies unlike the dollar or euro. This predictability creates certainty for the future.
- Cryptocurrencies are scarce stores of value, making them more expensive over time just like gold.
- Scarcity is one of the keys to creating an inflation-resistant store of value. (There will never be more than 21 million Bitcoins or 84 million Vertcoins)
- 90% of cryptocurrencies using the Proof of work (PoW) mechanism will even reach 0% inflation over time. (Bitcoin, Litecoin, Vertcoin)
Cryptocurrency Inflation Rate on POW coins
The cryptocurrencies that use the Proof of work (PoW) mechanism are some of the best coins. Satoshi Nakamoto chooses exactly this method to confirm transactions on the Bitcoin network.
In the next table below you will find out:
- what is today’s inflation
- what will be the inflation after 1 year
- what will be the inflation after 5 years
- what will be the inflation after 10 years
- which cryptocurrencies have limited supply and their inflations will reach 0%
- which cryptocurrencies have an infinite number of coins and their inflation in the next hundreds of years will not reach 0% (Dogecoin)
Inflation on POW coins
| POW Coins Inflation (Daily Update) | Today: | After 1 Year: | After 5 Years | After 10 Years | MAX Supply | |
|---|---|---|---|---|---|---|
| 3/30/2023 | 3/30/2024 | 3/30/2029 | 3/30/2034 | |||
 | Verge Inflation rate | 0.04% | 0.0099% | #N/A | #N/A | 16,555,000,000 |
 | Monero Inflation rate | 0.86% | 0.8559% | 0.8208% | 0.7884% | ∞ unlimited |
 | Ubiq Inflation rate | 1.12% | 1.1039% | 1.0462% | 0.9941% | ∞ unlimited |
 | Bitcoin inflation rate | 1.78% | 1.7505% | 0.4208% | 0.2069% | 21,000,000 |
 | Bitcoin Cash Inflation rate | 1.78% | 1.7505% | 0.4208% | 0.2069% | 21,000,000 |
 | Bitcoin SV Inflation rate | 1.78% | 1.7505% | 0.4208% | 0.2069% | 21,000,000 |
 | Siacoin Inflation rate | 3.03% | 2.9452% | 2.5670% | 2.2749% | ∞ unlimited |
 | Litecoin inflation rate | 3.70% | 1.8053% | 0.8465% | 0.4122% | 84,000,000 |
 | Dogecoin Inflation rate | 3.90% | 3.7519% | 3.1590% | 2.7279% | ∞ unlimited |
 | Vertcoin Inflation rate | 3.95% | 3.8041% | 1.6877% | 0.4032% | 84,000,000 |
 | Monacoin Inflation rate | 4.34% | 2.1012% | 0.9640% | 0.4651% | 105,120,000 |
 | Ethereum Classic Inflation rate | 4.43% | 4.2403% | 1.8902% | 1.1239% | 210,700,000 |
 | Dash Inflation rate | 4.67% | 4.1529% | 2.4442% | 1.6447% | 18,921,005 |
 | Digibyte Inflation rate | 5.25% | 4.4354% | 2.0853% | 0.00% | 21,000,000,000 |
 | Flux Inflation rate | 3.41% | 3.2976% | 0.7643% | 0.1870% | 440,000,000 |
 | Zcash Inflation rate | 7.79% | 3.7306% | 1.6200% | 0.7658% | 21,000,000 |
 | Firo Inflation rate | 9.50% | 8.6743% | 1.7702% | 0.8234% | 21,400,000 |
 | Ravencoin Inflation rate | 10.82% | 9.7620% | 1.8772% | 0.8748% | 21,000,000,000 |
 | Ergo Inflation rate | 18.47% | #N/A | #N/A | #N/A | 97,739,924 |
 | Beam Inflation rate | 19.12% | 16.0441% | 3.2639% | 1.4276% | 262,800,000 |
| Soon more POW coins |
Verge inflation policy
Verge block reward halving happens every 500,000 blocks or roughly every 173 days and on the halving day inflation decrease by 50%. Verge’s inflation rate is the lowest because in just a few years the entire amount of coins will be in circulation (maximum supply: 1660000000 XVG). No more coins can be mined and then inflation will reach 0%. Learn More Verge halving
Monero inflation policy
Monero inflation is low, but with very low rates of decline in the coming years. Monero inflation will reach 0.5% in 2107 and will continue to decline at a slow pace. Monero has no maximum supply (unlimited) and it will produce 0.6 XMR per 2 minute block.
Bitcoin inflation policy
Bitcoin inflation decreases by 50% every 4 years or exactly in 210,000 blocks. In 2107 Bitcoin inflation will reach 0.0128% and in 2140 will be 0% when the last bitcoin will be mined. Learn more Bitcoin Inflation rate or Bitcoin halving dates.
Bitcoin Cash inflation policy
Bitcoin Cash is a fork of Bitcoin and follows roughly the same inflation rate as Bitcoin. Learn more Bitcoin Cash halving.
Bitcoin SV inflation policy
Bitcoin SV is a fork of Bitcoin and follows roughly the same inflation rate as Bitcoin. Learn more Bitcoin SV halving.
Siacoin inflation policy
Approximately every 10 minutes Siacoin miners confirm a new block in the network and for this action they receive a reward of 30000 SC coins. Siacoin inflation will not reach 0% for the next few hundred years because Siacoin has an unlimited supply. Siacoin inflation will reach 0.3% in 2323.Â
Litecoin inflation policy
Litecoin network inflation decreases by 50% every 4 years or exactly every 840,000 blocks on the halving day. In 2142 Litecoin inflation will reach 0%. Lear more Litecoin inflation rate.
Dogecoin inflation policy
Every minute 10,000 dogecoin are produced by miners on the network. Dogecoin has an unlimited supply and inflation won’t go below 0% for the next few hundred years. Dogecoin inflation will reach 2% in 2047. Sorry Elon Musk, you chose the wrong coin.
Vertcoin inflation policy
Vertcoin inflation drops by 50% just like Bitcoin every 4 years. Vertcoin halvings is accurate every 840,000 blocks. Vertcoin inflation will reach 0.05% in 2042 and in 2144 Vertcoin inflation will be 0% when the last coins will be produced by miners. Learn more Vertcoin halving
Ethereum Classic inflation policy
Ethereum Classic block reward decreases by 20% every 5 million blocks. Around 2043 Ethereum Classic inflation will reach 0.14% Learn more Ethereum Classic halvingÂ
Monacoin inflation policy
Monacoin has a halving every 4 years just like Bitcoin. Monacoin inflation will reach 0.24 percent in 2035 and in the year 2148 after the last block reward there will not be inflation in the monacoin network. Learn more Monacoin halving.
Dash inflation policy
Dash the block reward is only reduced by 7.14% every 210240 blocks or block reduction happens every 365 days. The last DASH will take 231 years to be generated. Learn more Dash halving.
Digibyte inflation policy
DigiByte block rewards reduces by 1% every month. All 21 billion DigiByte will be mined by the year 2035 and DGB inflation will reach 0%.Â
Zcash inflation policy
Zcash has inflation policy just like Bitcoin. Halving is every 4 years.Zcash inflation will reach 0.379% in 2035. Learn more Zcash halving.
Firo inflation policy
The Firo reward halves approximately every 4 years and will reach 0.4% inflation in 2036. Learn more Firo halving.
Ravencoin inflation policy
Ravencoin has inflation policy just like Vertcoin – halving every 4 years. In the early years of ravencoin, inflation is quite high, but over time it will decrease to 0%. Learn more Ravencoin halving.
The entire crypto inflation rate
It is difficult to calculate the rate of inflation in the entire crypto sector. There are over 22,000 cryptocurrencies and each one has a different inflation rate. Every day, developers make new crypto projects, increasing the entire supply of coins and tokens in the crypto space. This leads to an increase in inflation in the crypto sector. On the other hand, new people with fresh money are constantly entering the crypto world, and this balances things out to some extent.
I am a crypto journalist and blockchain expert. I like technology and started reading about bitcoin in 2013. Crypto is my passion and I like to write about cryptocurrencies.
P.S.
When I wrote the article “Cryptocurrency Inflation Rates” I analyzed statistics from various reliable sources. Always verified information from the Genesis code.
