CPI 3.0%
Truflation 2.3%
take your pick
here is the difference between CPI and Truflation according to GROK:
Overview of Truflation and CPI
Truflation is a blockchain-based, decentralized platform that provides real-time inflation tracking using data from over 30 sources and millions of price points (e.g., from Amazon, Walmart, Zillow, and Nielsen). Launched in 2021, it aims to offer a more timely and unbiased alternative to government metrics by updating daily and incorporating modern spending patterns. In contrast, the Consumer Price Index (CPI) is the official U.S. inflation measure produced monthly by the Bureau of Labor Statistics (BLS), relying on surveys of about 80,000 goods and services collected through visits, calls, and website scans.
Both track year-over-year (YoY) price changes in a "basket" of consumer goods and services, but they diverge significantly in methodology, timeliness, and results—often with Truflation showing lower inflation rates due to faster data capture and different weightings.
Key Differences
| Aspect | Truflation | CPI (BLS) |
|---|
| Update Frequency | Daily, using real-time automated feeds from 13M+ data points. Forecasts BLS CPI up to 45 days ahead. | Monthly, with data often 1-2 months old (e.g., September 2025 data released October 24). |
| Data Sources | 30+ private providers (e.g., retailers, real estate platforms); no surveys—focuses on actual transaction prices. | Government surveys of ~80,000 items; includes manual collection, which can lag economic shifts. |
| Categories | 12 detailed categories (e.g., food/beverages, housing/utilities, transportation). | 8 major groups (e.g., shelter, apparel, transportation). |
| Weightings | Annually updated based on recent (2021+) consumer expenditure data; housing ~23% (less emphasis on shelter). Uses independent surveys and census data. | Updated every 2 years using 2019-2020 data (pandemic-influenced); shelter ~33% (higher weight amplifies housing lags). |
| Methodology | Blockchain-verified for transparency; no substitution bias adjustments; captures full rental market changes. | Uses chain-weighting for substitutions; excludes some owner-equivalent rents; potential for bias from outdated weights. |
| Accuracy & Bias | Designed to reduce centralization bias; correlates highly with CPI (0.97-0.99) but often lower due to real-time sensitivity. | Official benchmark but criticized for delays and undercapturing modern trends (e.g., e-commerce). |
| Use Cases | Real-time trading signals, DeFi/crypto hedging, policy forecasting. | Influences Social Security adjustments, Fed decisions, wages/pensions. |
These differences mean Truflation can signal inflation trends earlier—e.g., it predicted May 2024's CPI at 3.3% exactly, while running at 2.23% concurrently.Why They Differ in Reported ValuesTruflation's lower readings often stem from:
- Timeliness: It reflects price drops (e.g., in energy or vehicles) immediately, while CPI's shelter-heavy weighting (~1/3) delays declines in housing.
- Housing Treatment: Truflation's 23% housing weight vs. CPI's 33% reduces the drag from lagged rent data.
- Data Freshness: Truflation uses 2021+ expenditures; CPI's pre-pandemic weights overstate volatile categories.Historically, Truflation ran higher than CPI during 2021-2022 peaks but has trended lower since, leading CPI by ~45 days.
Current Values (as of October 24, 2025)
- US CPI (September 2025): Monthly +0.3%; YoY 3.0% (headline). Core CPI (ex-food/energy): Monthly +0.2%; YoY 3.0%. This is up slightly from August's 2.9% but below expectations of 3.1%.
- Truflation US Aggregate Index: Exact daily value unavailable in public snapshots, but as of early October 2025, it was tracking below 2% YoY (continuing a downward trend from 2.77% in January 2025 to ~1.5% by March). It remains ~0.5-1% lower than CPI, consistent with its faster capture of disinflation in categories like energy and vehicles