TechFlow news, according to Forbes, after the halving, Bitcoin's inflation rate is now 75% lower than the current U.S. inflation rate and 72% lower than gold's annual issuance rate. Following Bitcoin's halving in April, the block reward decreased from 6.25 BTC to 3.125 BTC, significantly impacting the cryptocurrency's issuance rate. Each halving event reduces the supply of newly minted bitcoins, tightens market supply, and potentially increases the asset's value over time.
Currently, approximately 450 bitcoins are mined daily, resulting in a Bitcoin inflation rate of around 0.84%, compared to the latest U.S. inflation data for May at 3.4%. The decline in Bitcoin’s inflation rate marks a significant milestone, as it now falls below even the lower bound of gold’s annual inflation rate, which ranges between 1% and 3%. Newly mined gold contributes to a 1% increase in supply annually, while recycled gold also factors into its inflation calculation—reaching 9% in 2023—resulting in a net 3% increase in gold’s circulating supply.
