Someone in the Bitcoin community on X had posted that they had created a plug in that will convert the prices of your native currency into Bitcoin/sats. The plug in is called Opportunity Cost and can be found here: https://www.opportunitycost.app. I am no way affiliated with the creators of Opportunity Cost, but I wanted to share because I find it interesting and helpful for thinking in terms of Bitcoin rather than fiat.
Since I've started to use Opportunity Cost, just about every US Dollar denominated value that appears on my screen, regardless of the website, shows the conversion into Bitcoin at the current price. Here are some examples:
The plug in even works on bank statements, so you can see how much money is coming and going from your account in terms of Bitcoin.
This tool has been helpful in that it forces me to think about buying things online that I might otherwise not need. It makes me think about how much what it is I am looking at is a want or a need, and if the former, would it be better for me to save and convert this money I would be spending into Bitcoin (hence the "Opportunity Cost"). It also has me thinking in a way where I see my purchasing power INCREASING (priced in Bitcoin) versus decreasing (inflation in fiat).
"The natural state of the free market is deflation"
Jeff Booth has often used the aforementioned quote in his interviews. What this means is that businesses compete with each other to solve problems in order to provide good and services that are more valuable than there competitors. For example, if you have a Windows computer that keeps malfunctioning, you may switch to a Mac if it is more reliable. It is also in the business's best interest to try to keep prices as low as possible while providing quality products in order to beat their competitors. As Jeff Booth has mentioned in this video (which I urge you to watch), as technology continues to advance at an exponential rate that allows us to produce goods and services more quickly, abundantly, and distribute them globally, prices thus fall to the marginal cost of production, meaning that the free market must be exponentially deflationary. The reason that we don't see this is because we have a central bank that prints money with an elastic supply which causes inflation, and we have a government that interferes with the free market by providing subsidies with said money. This not only causes prices to go up, but skews the market in a way where there is artificial demand created by said subsidies. Deflation seems unnatural because we have been conditioned to think that an arbitrary target of 2% inflation is natural, and that eroding savings/purchasing power is necessary to keep the economy going.
"Repricing the World": Bitcoin is Outside of the Inflationary System
However, over the years we have seen the price of goods fall when priced in Bitcoin which is deflationary and cannot be manipulated. Yes, the common way that Bitcoin's value is measured is through fiat money and we feel great when we see "number go up." But I would like to challenge this perspective by echoing Jeff Booth. When you measure Bitcoin using fiat, you are still looking at Bitcoin through the inflationary fiat system. Even though there is merit to this, I think it is more powerful to view prices in terms of Bitcoin because it shows how Bitcoin is repricing the world. As shown below, the price of iPhones has been decreasing when priced in Bitcoin.
And as shown by this graph generated by ChatGPT, the price of iPhones over the years has increased in fiat.
In this last graph, it is an invert of the graph we commonly see where the value of Bitcoin in fiat is up and to the right. This one however shows the value of the US dollar when priced in Bitcoin. Looking at this graph provides a frame of seeing Bitcoin as the standard, and further highlights how much the dollar is being devalued against Bitcoin. It shows the progression of the amount of sats you can buy per dollar dwindling, a whopping 99.77% over the past 10 years.
All Prices are Falling in Relation to Bitcoin
In the fiat system money MUST be printed, thus everything is going up in price. Since you cannot manipulate the Bitcoin supply and issuance, Bitcoin is a form of money that is measuring everything and is doing so in a free market ecosystem; the market has been deciding Bitcoin's value since its inception Unlike fiat, Bitcoin is not controlled by a central entity, and there is no State backing it and decreeing its value arbitrarily. Purchasing power with fiat has been on the decline, whereas on a Bitcoin standard purchasing power has been increasing.
If you are interested in thinking more in terms of a Bitcoin standard, you can download Opportunity Cost here:https://www.opportunitycost.app
Thank you for your time and attention.
Please consider checking out my Bitcoin merch (hoodies, t-shirts, hats, stickers, cases, mugs etc.) designed by me using the link below.
Happy Stacking,
B
Bitcoin Merch: https://www.redbubble.com/people/B-21/shop?asc=u
