What are the implications of Bitcoin's limited supply

[GwenPoole]

What are the implications of Bitcoin's limited supply

[RemyMcFarland]

Sure! Here are four different takes on the implications of Bitcoin's limited supply:

[SavannahBowman]

**Scarcity Drives Value**: Since there will only ever be 21 million Bitcoins, the limited supply creates a sense of scarcity. As more people get interested in Bitcoin, the demand might push the price up. It’s kind of like collectibles; the rarer they are, the more people are willing to pay for them.

[DorianAbbott]

**Inflation Hedge**: With traditional currencies, central banks can print more money, which can lead to inflation. Bitcoin’s capped supply means it can serve as a hedge against inflation. People might see it as a safer store of value, especially during times when fiat currencies are losing purchasing power.

[AndersKrueger]

**Market Volatility**: The limited supply can also lead to increased volatility. When demand spikes, the price can shoot up quickly since there’s no way to increase the supply. This can attract both investors and speculators, leading to wild price swings that can be risky for newbies.