What is inflation and why does it matter?
Inflation happens when prices rise but salaries stay the same.
Over time, your money loses purchasing power.
A simple example:
A basic lunch that used to cost 5,000 pesos now costs 15,000 pesos.
Your money buys less every year.
Why does inflation happen?
When the Central Bank needs more money to pay debts or finance spending, it prints more bills.
But if there is more money chasing the same number of goods, prices go up.
Think of it this way:
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10 slices of pizza and 10 bills → each bill buys 1 slice.
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20 bills for the same 10 slices → now it takes more bills to buy the same slice.
That’s inflation: your savings lose value silently.
How can Bitcoin help?
Bitcoin has a key feature:
There will only ever be 21 million Bitcoin in the world.
No one can print more.
It’s scarce, like gold, which is why its value tends to increase over time.
In addition:
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It is not controlled by any bank or government.
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It works thanks to a global network of computers that follow strict and transparent mathematical rules.
Why Bitcoin matters in times of inflation
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Protects your savings and hard work.
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Gives you full control over your money.
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Is part of a global, decentralized system without intermediaries.
In Colombia and many other countries, more and more people are using Bitcoin as a modern way to protect their savings.
Coming up tomorrow
In the next chapter, we’ll talk about why Bitcoin is safe when used correctly and how you can protect it yourself. 🔐📲
