Sound Money

Sound money is a form of currency that is reliably scarce, durable, and resistant to arbitrary inflation, maintaining its value over time. The term originates from historical coins made of metal, which were considered “sound” because they could not be easily inflated or debased and produced a ringing sound when struck, which helped verify their authenticity. In the context of Bitcoin, sound money refers to the network’s fixed supply limit of 21 million coins, predictable issuance schedule, and decentralized control, which protect it from manipulation or excessive creation.