The conversation around Bitcoin’s scarcity as a core pillar of its value proposition is once again front and center, as institutions and investors deepen their engagement with the world’s largest cryptocurrency.

Through a recent post, Hunter Horsley of Bitwise shows that readers now see new differences between Bitcoin and traditional monetary stores like fiat currencies and gold.

Horsley published on X why Bitcoin’s limited 21 million coins remain superior to inflation-prone fiat currencies and slowly produced gold. Over sixty years, the worldwide cash supply increased by 14% per year and U.S. monetary supplies rose about 7.4% each year.

Bitwise CEO Reaffirms Bitcoin’s Scarcity Versus Gold, Fiat

Horsley Highlights Bitcoin’s Distinct Market Position

The opening of new gold mines contributes to the stockpile that grows between 1.5% and 2% every year. Bitcoin grows at only 0.84% as all other available coins will enter circulation during the stated period.

Horsley explained how seeing Bitcoin alongside traditional money and gold demonstrates its distinct position in the market. He highlights Saifedean Ammous’ work, The Bitcoin Standard, as the key influence behind his understanding of the unaltered Bitcoin supply.

Bitwise CEO Reaffirms Bitcoin’s Scarcity Versus Gold, Fiat

Horsley uses his words at a critical point in the discussion. According to CoinMarketCap data, Bitcoin has increased its market control to 64.89% since January 2021. When I write this, Bitcoin shows a price value of $94,517.03, which has decreased 1.20% but remains close to its all-time high.

Spot Bitcoin ETFs Receive $3.3 Billion in Inflows

Economic institutions are causing supply levels to decrease. In 2025, mining will generate 165,000 fresh Bitcoin units, according to Horsley. During the first quarter, public companies spent more than half their expected yearly budget on buying 95,000 bitcoins.

Leading companies in the market remain active during this time. The firm Strategy Inc (NASDAQ: MSTR), which supports Bitcoin adoption, added $1.4 billion worth of 15,355 bitcoins to its assets last week. Building on its accumulation history, Semler Scientific boosted its Bitcoin holdings by 165 coins during this period, making their total 3,467 BTC assets worth more than $330 million today.

Together Tether, Bitfinex, and SoftBank started 21, which required putting 42,000 Bitcoin worth $4 billion on their corporate balance sheet to prove Bitcoin payments with large companies are becoming the norm.

The entire investment industry now follows this pattern of interest in Bitcoin. Matt Hougan told media outlets that spot Bitcoin ETF products received $3.3 billion in investments during a single week. According to Strategy Chair Michael Saylor, every single bank transitioning to Bitcoin will create significant new flows into this digital currency.