Hi There,

Once money stopped being backed by gold, governments gained the ability to create more currency whenever needed.

And when more money flows into the system without increasing real economic value — the result is:

🔥 inflation

Inflation is not just:

• prices going up
  It’s:

• the value of your money going down

Real example:

In the 1970s, a basket of groceries might cost £10.
Today the same goods might cost £60.

The groceries didn’t change.
The value of the currency did.

This effect is silent.

Inflation works like a slow leak:

• £100 ten years ago is worth far more than £100 today

• Your savings shrink in real value

• Your salary increases don’t keep pace

• The cost of living rises faster than wages

People often feel like they’re working harder but not getting ahead — and inflation is a major reason.

Why this matters

Crypto and other decentralized assets have emerged partly as a response to this.

Bitcoin, for example:

• cannot be printed

• has a fixed supply (21 million coins)

• cannot be inflated by policy decisions

It is designed to be deflationary — the opposite of fiat money.

This doesn’t mean crypto replaces fiat.
But it helps explain why people seek alternative stores of value.

If you’d like to continue, 👉 Click here for lesson-5

Warm regards,
Johnson