Dogecoin founder: cryptocurrencies will not save from inflation

Billy Marcus, co-founder of Dogecoin, shared his opinion on the widespread myth that cryptocurrencies are a hedge against inflation. The author of the «memecoin» believes that this is nothing more than «marketing» and that people mainly trade or hold cryptocurrencies because of their highly volatile nature.

The rumor of «inflation hedging» with cryptocurrencies emerged a few months ago when bitcoin, ethereum, and other cryptocurrencies showed relatively convincing resilience in the market, outperforming most traditional assets.

This trend of cryptocurrencies made them an ideal means of saving, with the value of fiat currencies declining amid the stability of crypto assets. The mood changed after a large-scale market correction caused by the Terra UST and LUNA crash.

Despite the sharp decline in the value of digital assets, most of them still perform better than alternative inflation hedges such as gold. Relatively speaking, your investment in bitcoin 10 years ago would have earned you thousands of percent in profit, easily outperforming gold and other inflation hedges.