Bitcoin-Denominated Home Prices Expose Steep Loss in Dollar Purchasing Power

Fidelity Digital Assets published research using bitcoin as a “neutral unit of account” to assess property values and examine how global inflation and dollar depreciation affect purchasing power. Real estate has traditionally been viewed as an inflation hedge. Under central banks’ expansionary monetary policies, however, fiat purchasing power has eroded sharply, suggesting that rising dollar-denominated asset prices may merely create an illusion of wealth caused by currency depreciation.

Fidelity Digital Assets said on July 9, 2026, that the typical U.S. home had risen in price by more than $100,000 since 2020 when measured in dollars. Its bitcoin-denominated price, however, had fallen 90%, from 50 BTC to 5 BTC. The figures suggest that higher home prices are an illusion created by dollar depreciation and underscore bitcoin’s value as a long-term hedge against fiat debasement, given its fixed supply of 21 million coins.