Purchasing Power Index
Comparing Bitcoin's deflationary purchasing power against fiat inflation over the last 5 years. Base: May 2021 = 100.
Bitcoin Appreciation
+78%
$57,800 → $103,000
Fiat Purchasing Power Lost
-25%
Cumulative CPI erosion since May 2021
Basket Cheaper in BTC
-10%
92.0k sats → 82.4k sats
Purchasing Power Index (2021–2026)
Orange = Bitcoin purchasing power · Red = Fiat USD purchasing power
Bitcoin index = (monthly BTC price / May 2021 BTC price) × 100. Fiat index = real purchasing power of $100 USD adjusted for CPI inflation (May 2021 = 100). Volatile peaks represent bear market periods when BTC lost value against fiat.
Basket of Goods — Sats Cost Comparison
How much Bitcoin these 7 common goods cost in May 2021 vs today
| Good | May 2021 | Today | Change |
|---|---|---|---|
Dozen Eggs $4.5 USD | 7.8k sats | 7.0k sats | -10.4% |
Gallon of Milk $3.8 USD | 6.6k sats | 5.9k sats | -10.4% |
Loaf of Bread $3.5 USD | 6.1k sats | 5.4k sats | -10.4% |
Netflix (Monthly) $22.99 USD | 39.8k sats | 35.6k sats | -10.4% |
Spotify (Monthly) $11.99 USD | 20.7k sats | 18.6k sats | -10.4% |
Gallon of Gas $3.5 USD | 6.1k sats | 5.4k sats | -10.4% |
NYC Subway Ride $2.9 USD | 5.0k sats | 4.5k sats | -10.4% |
Why Bitcoin Is Deflationary
Bitcoin has a hard cap of 21 million coins. Unlike fiat currencies — where central banks can print unlimited money, eroding purchasing power — Bitcoin's supply is fixed. As adoption grows and demand increases, each satoshi buys more over time.
The Satoshi Standard tracks this in real terms: the number of sats required to buy a Big Mac, a Tesla, or an ounce of gold. Over 5 years, most goods have become significantly cheaper measured in Bitcoin — while becoming more expensive in fiat dollars. This is the deflationary premium.