You might have noticed an interesting phenomenon—stocks, real estate, and crypto assets are all breaking through historical highs, except for one thing losing value: the cash in your hands.

This isn't because assets are truly rising, but because liquidity is shrinking. In other words, the purchasing power measured in fiat currency is quietly weakening.

From an inflation perspective, when central banks continuously release liquidity and the money printing scale exceeds real economic growth, the result is an overall rise in asset prices—this is both an asset allocation mechanism and a process of wealth transfer. Those holding physical assets and crypto assets are hedging risks, while those simply holding cash are being silently looted.

This is why more and more people realize that, in this cycle, not holding certain assets is actually the riskiest choice.