Bitcoin inflation after 2022: How monetary dynamics have shifted compared to gold

The monetary fundamentals of Bitcoin are becoming an increasingly focal point for the analytical community. New data show that after 2022, there has been a fundamental shift in the inflation trends of both key reserve assets. While traditionally dominated by gold, currently Bitcoin’s inflation rate is below the gold inflation pace — signaling a structural shift in the long-term monetary environment.

Why did gold production and purchases increase during 2022-2024

Since 2022, central banks in many countries — including Poland, Turkey, China, Singapore, and several Middle Eastern nations — have significantly increased their gold reserves. This trend reflects responses to geopolitical uncertainty and monetary turbulence that intensified during this period. The global annual gold production reaches approximately 3,600 tons, corresponding to a market value of around $540 billion.

Total above-ground gold reserves are estimated at about 220,000 tons. With an annual discovery and mining rate of around 1.6%, the gold supply increases each year — structurally, the inflation of this asset has remained unchanged over the long term. Interestingly, the amount of gold mined worldwide in just three years equals Bitcoin’s current market capitalization, highlighting the scale of ongoing gold reserve expansion.

Bitcoin: Decreasing inflation after the halving in 2024

Bitcoin’s dynamics are evolving in a diametrically opposite manner. After the 2024 halving, the daily issuance dropped to 450 BTC, resulting in an annual production of approximately 16,000 BTC. At the current price of around $70,730 per BTC, this represents an inflation valued at about $11.3 billion annually.

This places Bitcoin’s annual inflation at a significantly lower level — close to 0.8%, which is only half of gold’s inflation. The key difference is that this number will continue to decrease with each subsequent halving. This predictable emission curve makes Bitcoin increasingly attractive to those seeking an asset with structurally declining inflationary pressure.

Central banks: Why gold still dominates official reserves

Despite the increasing rarity of Bitcoin’s monetary profile, its market position remains relatively small. The estimated market capitalization of gold exceeds $14 trillion, while Bitcoin, with a current value of around $1.4 trillion, accounts for only about one twentieth. For official reserves of central banks, this means Bitcoin is still insufficiently liquid and too small to serve as a credible alternative.

Analyst 0xTodd pointed out that central banks prefer complexity that minimizes uncertainty in reserve assets: market depth, long-term price stability, and geopolitical neutrality — parameters where gold traditionally excels. In this regard, Bitcoin is still in the position of a growing but young asset.

Distribution of the world: States keep gold, corporations take Bitcoin

While governments remain conservative, the corporate sector is gradually accelerating Bitcoin adoption. Public companies and digital treasuries are increasingly including Bitcoin in their balance sheets, transforming it into a business alternative to gold — not in the sovereign reserve sector, but in the corporate wealth sector.

According to analyst observations, each generation of entities historically chooses its own reserve asset. Gold remains the dominant choice for state structures due to its proven depth and trustworthiness. Bitcoin is gradually building its position among businesses, long-term investors, and a growing community of those who understand its monetary physics. Inflation-wise, after 2022-2024, Bitcoin has entered a phase where its monetary discipline becomes comparable to, or even stricter than, that of traditional gold.