How fiat devaluation actually works

Devaluation rarely arrives as a headline. It accumulates: each year of inflation above the savings yield is a quiet transfer from cash holders to debtors and asset holders.

Over a 30-year horizon — the natural horizon of a generational trust — even modest annual devaluation compounds into a majority loss of purchasing power for cash positions.

Trust structures cannot stop devaluation, but they can decide *what* the trust holds and *how* it is governed so that the loss is not borne entirely by the next generation.