LeoGlossary: Disinflation

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10 months ago - 1 minutes read

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This is a form of inflation.

Similar to that, it is an expansion of the money supply, especially currency.

The main difference is the pace at which the increase takes place. Disinflation is inflation but at a slowing pace over a specific period of time.

When the inflation rate drops, yet is still positive, then we have disinflation.

Most cryptocurrencies are presently disinflationary. They are still producing more coins or tokens, yet it is at a reduced rate as compared to years past.

The halving that Bitcoin goes through shows a disinflationary coin model.


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