What is the HEX Inflation Rate?

HEX cryptocurrency has a base inflation rate of 3.69%. This inflation is split 50/50 between the HEX Miners and the OA (Origin Address). The half that goes directly to the Miners is split evenly among all the Miners. But the more SHARES you have, the more inflation you receive.

HEX Miners are seeing some very high yields. Over the five year history since its launch in 2019, HEX Miners have received an average of 38% APR in HEX. Remember, just like in Bitcoin where the mining rewards are paid in Bitcoin (block rewards - this is how the inflation is introduced into circulating supply), the HEX Mining rewards (yield) are paid in the native cryptocurrency - HEX.

An important thing to remember when considering the base inflation rate of 3.69% is that when a Miner interacts with the smart contract and commits to Mining a certain number of HEX for a certain period of time, the HEX principle for that Miner is BURNED. This function, therefore, removes that HEX from circulating supply. When a Mining period ends, however, and a Miner interacts with the protocol to end the Miner, both the initial principle AND the accrued HEX rewards are MINTED. This function, therefore, adds that HEX into the circulating supply (inflation).

Calculating the precise rate of inflation for any given year or period of time would involve reviewing the amount of HEX both removed from (burned) and added to (minted) circulating supply. The base rate is 3.69%.

*It’s important to note that Bitcoin is inflationary, and its rate of inflation is cut in half every four years (the halving). Because Bitcoin is capped at 21M coins, there will come a time when the miners no longer receive Bitcoin rewards. Furthermore, the slowing inflation in Bitcoin requires a very high Bitcoin price, as fewer and fewer Bitcoin are awarded to the miners, yet the cost of running a mining farm is forever rising. It remains to be determined how Bitcoin Core devs will address this problem, and it’s quite a huge looming problem. HEX has no such problem, and will continue running flawlessly for the foreseeable future. Richard Heart is a visionary who understood the inherent flaws in Bitcoin long before anyone else, and he proactively created HEX as the next generation cryptocurrency that solves all of these problems.