• The United States debt ceiling has been postponed with the passing of the Fiscal Responsibility Act of 2023, allowing for more money to be printed.
• Retired American politician Ron Paul warns that this irresponsible spending could result in the U.S dollar losing its world reserve currency status sooner rather than later.
• Bitcoin is becoming increasingly popular as an investment option, due to its fixed supply and highly divisible nature which makes it a viable global reserve currency option.
U.S Debt Ceiling Postponed
The United States debt ceiling has been postponed after Congress passed the Fiscal Responsibility Act of 2023, allowing for more money to be printed by the Federal Reserve in order to finance Biden’s administration’s expenditures. The bill caps domestic discretionary spending for Fiscal Year 2024 at $704 billion and spending for Fiscal Year 2025 at $711 billion.
Ron Paul Warning
Retired American politician Ron Paul has warned that this irresponsible spending could result in the U.S dollar losing its world reserve currency status sooner rather than later due to increasing inflation rates leading to decreased trust in it as a reliable asset for investment purposes.
Rise of Crypto Assets
The cryptocurrency market has demonstrated huge independence following an increased regulatory crackdown led by the United States Securities and Exchange Commission (SEC). Despite deeming all digital assets as unregistered securities, total crypto market capitalization has managed to remain above $1.1 trillion which shows that investors understand these tribulations are temporary since even the U.S government holds some Bitcoin assets itself now.
Bitcoin Gaining Popularity
The evolution of money has seen Bitcoin fulfill many needs of investors and users over the past decade due to its fixed supply, high divisibility, decentralization and security features making it an ideal global reserve currency option compared to traditional fiat currencies such as US Dollars or Euros which suffer from inflationary issues resulting from excessive printing by central banks worldwide.
With increasing economic instability being witnessed around the world due to irresponsible monetary policies adopted by governments, cryptocurrencies such as Bitcoin have become attractive alternative investment options for both individuals and institutional investors who want exposure but are wary about investing their hard-earned savings into volatile assets such as stocks or commodities markets without adequate knowledge or resources at hand.