How to Preserve Your Capital in Inflation Using NavC

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With rising inflation, it becomes difficult for people to preserve the value of money. Inflation reduces the purchasing power of money. As time passes, the same amount of money will buy less than it did before.

This can make it difficult for people to plan for the future and invest in growth, as there will be uncertainty about how much their costs will increase. Additionally, if the rate of inflation is higher than the rate of return on investments, it can also cause a decrease in the value of invested capital. Thus, an investor should opt for an investment that can outperform inflation. Though multiple assets are available, cryptocurrencies can be an incredible asset to park your money, enabling you to not only outperform inflation but also generate massive wealth.

In this article, we will discuss what inflation is, how it impacts your money, and NavC token can help you preserve your capital value.

What is Inflation, and How Does it Affect Your Money?

Inflation is a measure of the increase in prices for goods and services over a certain period of time. It is measured by calculating the rate of change in the Consumer Price Index (CPI) or Producer Price Index (PPI).

In a layman's language, inflation is when prices for goods and services go up over time. The same amount of money you have today will not buy as much in the future. For example, if one-liter milk cost $1 today, but next year it costs $1.10, that is inflation. This increase in prices can make it harder for you to afford things you need and can decrease the value of your savings over time.

Inflation can have a major effect on your money in various ways, some of which have been included below:

Decreasing the value of savings

When prices rise, the same amount of money will buy less than it did before. This can make it more difficult for people to plan for their financial future. Inflation can erode the value of savings over time, which means that cash savings will lose purchasing power. For example, if inflation is running at 2% per year, then $100 today will be equivalent to having $98 in terms of purchasing power.

Increasing the cost of living

Inflation can make it more expensive for you to purchase essential goods and services, such as food and housing. As prices increase, your money doesn't go as far as it used to. This can be especially challenging for people on fixed incomes, such as retirees or even employees working on a fixed rate of remuneration, who may have difficulty keeping up with rising costs.

Making it more difficult to plan for retirement

Inflation can decrease the value of investments and savings, making it more difficult for people to save for retirement. The higher rate of inflation means more money you will need to save to maintain your standard of living once you retire. Thus, it is important you strategically choose your investment that can beat inflation by a significant margin.

Decreasing real wages

When inflation is higher than wage growth, it can lead to a decrease in purchasing power for workers. This means that even if wages are increasing, they may not be keeping pace with rising prices, leading to a decrease in real wages.

Increasing interest rates

To control inflation, central banks may raise interest rates, which can make it more expensive for individuals and businesses to borrow money. Higher interest rates can also lead to a decrease in consumer spending and economic growth.

NavC, The Hedge Against Inflation

To mitigate the impact of inflation, investors can invest in assets that have the potential to appreciate in value more than the inflation rate. NavC is one such asset. It is the underlying currency of the Next-Generation Crypto Exchange, NavExM.

NavExM integrates Automated Market Maker (AMM), which is popularly used in DEX, in the trading engine to ensure that NavC routes through all the transactions that will be executed on the exchange. It will ensure continuous demand for the token. Due to limited supply and increasing demand, the price of NavC is expected to rise exponentially.

The price of NavC is correlated with the rising trading turnover of NavExM. The more transactions happen on the exchange, the higher the price of NavC will appreciate.

Now the question that might have splashed into your mind is, what will make sure the rising trading volume on NavExM?

NavExM is the world's most rewarding crypto exchange. The platform offers zero-trading fees and cashback rewards on each transaction. Besides that, the exchange provides an augmented liquidity pool resulting in faster trade settlement.

With cashback rewards, you can make profits even if you sell your holdings at a limited loss. The incredible benefits available to the community members establish NavExM as the Next-Generation crypto exchange which will encourage traders to trade more and earn more. The rising trading volume on the platform will ensure increasing demand for the token resulting in continuous price appreciation.

The token is expected to yield more than 30,000% within 4 years period. It won't only help beat the inflation, NavC will join the league of Top 20 Cryptocurrencies very soon. It can be an excellent asset that can open the door to generating unimaginable wealth.

Final Words

Inflation can have a notable impact on your money. It can decrease the value of your savings, increase the cost of living, make it more difficult to plan for retirement, decrease real wages, and increase interest rates. However, by investing in inflation-proof assets, you can protect your money from inflation. NavC is a value variance inflationary token, which means every time a trade is executed on the exchange, the price of the token is expected to rise. The unique utility of the NavC token on the exchange makes it an excellent asset to invest in, as it won't only save your capital from inflation but also opens up the door to generating immense wealth.