>If I could buy 1000 loaves of bread with 1BTC last year, but this year I can only buy 900 loaves with that same 1BTC, that's inflation.
No, that's just an increase in the price of bread. If all the inputs in making the bread were in BTC, then it would be inflation.
If all of the inputs that went into making that bread were paid for in USD, and the relative price in BTC went up, that's called "currency risk". That's a completely different thing from inflation.
No, that's just an increase in the price of bread. If all the inputs in making the bread were in BTC, then it would be inflation.
If all of the inputs that went into making that bread were paid for in USD, and the relative price in BTC went up, that's called "currency risk". That's a completely different thing from inflation.