How can Bitcoin and Stablecoins help in the American debt crisis star-news.press/wp

The American national debt exceeded 37 trillion dollars, which represents a major escalation of $ 18 trillion a decade ago. In parallel, the bitcoin value increased from less than $ 500 to more than $ 100,000 in the same time frame, highlighting his store for value capabilities.

With the continued pressure on this high debt, the cryptocurrency advocates renew their invitation to Bitcoin as a potential solution. Although the invitation to Bitcoin is not a new thing, what is particularly interesting now is the emerging idea that Stablecoins can help reduce national debt.

Analysts resort to Bitcoin as economic protection in the growing US debt

According to the latest data from the American debt watch, every American citizen now holds a debt burden of $ 107,982. In addition, the responsibility of every taxpayer is $ 323,051.

Federal spending reaches about 7.1 trillion dollars, while the federal budget deficit is $ 2 trillion.

“We spend 25 % of all US government revenues on interest payments for national debt,” an analyst male.

The increase in debt, which is reflected in the ratio of debt to GDP by 123. %, has invited alternative financial strategies. Analysts are increasingly inviting Bitcoin as an applicable option to maintain value.

“If you still don’t have Bitcoin, it will now be a suitable time to start,” user He said.

Moreover, Raoul Pal, founder of Real Vision, Bitcoin described as “the circumambulation of life” in economic challenges such as debt and currency. He explained that while the central banks print more money for debt management, this reduces the value of the Fiat currencies, which makes rare assets, such as bitcoin, more valuable.

He also stressed that Bitcoin not only helps to protect from 8 % annual action for Fiat currencies, but also value increases due to increased adoption. Thus, this makes bitcoin a convincing option in times of economic uncertainty.

Can Stablecoins help reduce national debt?

With the high demand for the largest encrypted currency, Stablecoins plays a different role, as it appears as a potential solution to the debt crisis. In another publication of X (previously on Twitter), US Treasury Secretary Scott Pessent highlighted their potential to reduce national debt.

He explained that with the growth of the Stablecoin system, it can create a large demand from the private sector of the United States Treasury, which is used as reserves to support Stablecoins. This increase in the demand for treasury bonds would reduce the costs of borrowing to the government, and thus help in managing and retreating the national debt.

Moreover, Bessent indicated that Stablecoins can serve as a gateway to millions of people all over the world to enter the dollar -based digital asset economy.

“It is profitable for both sides for all concerned: the private sector. Treasury. Consumers,” He said.

Bessent also referred to recent reports that stipulate that the Stablecoin market may grow to $ 3.7 trillion by the end of the contract. According to him, this scenario is likely to become likely with the passage of the genius law.

The law seeks to create a regulatory framework for Stablecoins and the states that exporters buy US treasury bonds. Beincrypto reported that the US Senate approved the draft law earlier this week. He is now moving home, and if passed, he will move to the president’s office.

President Trump has already indicated his willingness to sign the bill. It is also believed that legislation can enhance the country’s position as a pioneer in digital assets.

“Digital assets are the future, and our nation will own it. We are talking about massive investment and great innovation. We hope that the house will move the lightning quickly and pass a” clean depth. “Get it to my office, as soon as possible-no delay, no additions. books.

However, not everyone believes in proposing value to the dollar -backed Stablecoins. Economist Peter Chef recently expressed his criticism of a social media post.

“Get Bitcoin, but not the US dollar stablecoins. If you are going to present a third -party guard, why are you settling a symbol supported by Fiat defective like the dollar, when you can have one gold backed? Note.

Therefore, with the rise in US national debts, there is an increased urgency about exploring different financial options. While Bitcoin is widely recognized as a hedge, the role of Stablecoins is still discussed. In the end, only time will reveal whether or not these assets supported by dollars can contribute to reducing debts or not.