Now the impact of the U.S. epidemic has forced the Federal Reserve and the U.S. Department of the Treasury to jointly change the U.S. macroeconomic policy over the past four decades. The crazy rescue plan of the Trump team and the Biden administration has led to a huge crisis in the credit of the U.S. dollar, which is raised by money printing and debt issuance. The U.S. bailout fund has brought inflation.

At this time, people again mentioned that Bitcoin can fight inflation.

Since the total issuance of Bitcoin is limited to 21 million, Bitcoin has had its own "anti-inflation" aura since its inception.

However, Can Bitcoin really resist inflation?

Because, although Bitcoin has a total issuance limit as a "protective cover" against inflation, but under the impact of a dazzling variety of virtual currencies such as ETH, BNB, XRP, LTC, DOGE, etc., Bitcoin's "protective cover" "It's easy to break the power.

The main determinant of currency issuance in the modern economy is not how many physical banknotes are printed by the banknote printing plant, but how much credit the bank issues. If the amount of credit is too large, it will lead to inflation. To prevent inflation, the number of entities that control the base currency is ineffective.

The key is to control the floodgate of credit. Imagine that if Bitcoin really becomes currency, Bitcoin bank loans and Bitcoin bonds will certainly follow.  Can inflation in the Bitcoin world be controlled simply by limiting the number of Bitcoins?

The central bank's quantitative easing policy and the ever-expanding money supply are in stark contrast to the quantitative tightening policy of Bitcoin's third halving. The supply of fiat currencies is growing rapidly, and claims about the scarcity of Bitcoin are becoming more and more important. Can this prove that Bitcoin can resist inflation?I am confused.