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The US deficit is preparing for an explosion of $ 2,500 billion. Paradoxically, this Republican tax bomb could become a fuel of the historical rally for bitcoins face to face the inevitable devaluation of the dollar.
In short
- Republicans offer 4,000 billion tax discounts and dig a deficit of 2,500 billion.
- Spencer Hakimian predicts the “incredible” impact on bitcoins and gold.
- A growing deficit could speed up the acceptance of bitcoins as strategic reserves.
- Obligations will suffer from a massive problem necessary to finance this deficit.
A tax project that explodes the deficit
Spencer Hakimian, founder of Tolou Capital Management, has just released a bomb on financial markets. The fund manager believes that the new Republican Tax Act creates a gap of $ 2,500 billion in the US budget.
Republicans promise to reduce taxes by 4,000 billion, claiming to save 1,500 billion expenses. The calculation that leaves you thoughtful and thus crouches the teeth in Washington. But for bitcoins, this dubious arithmetic could become an exceptional contribution.
Hakimian, now considered one of the most lifested Wall Street on Wall Street, not his words: “ This explosion of the deficit will be incredible for bitcoins and gold. »»
His analysis joins many experts who predict the flight to tangible property in the face of the exponential increase in public debt.
Bitcoin immediately responded to these notifications and up to $ 105,503 before stabilization. This volatility reflects the growing interest of investors for crypto due to expansive monetary policy.
The massive issue of bonds needed to finance this deficit is putting pressure on accounts for the treasury. ” Duties will be terribly affected “Hakimian warning, strengthening the attraction of alternative assets such as bitcoins.
Bitcoin as a debt crisis solution?
This increase in deficiency comes in the context of the crypto community carefully observes the institutional movement. Senator Cynthia Lummis has already proposed that Bitcoin could help solve the US debt crisis and offer the government to buy one million bitcoins.
Morgan Stanley goes further in his recent projections. The investment bank estimates that the United States should hold up to 3.7 million bitcoins if the crypto becomes a real international reserve currency. This amount would be 18 % of the total capitalization of bitcoins.
Arthur Hayes, the former CEO of Bitmex, remains skeptical. He doubts that the US government will indeed immerse and evokes current budget concerns as the main obstacle.
Journalist Charles Gasparino from Fox Business also Nans surrounding optimism. According to him, the idea that customs tariffs can significantly reduce the deficit, “outside the question”, even in the recent agreement between the United States and China.
Paradoxically, a spectacular increase in US deficit could strengthen the attraction of bitcoins as a reserve of alternative value. While the United States juggles between massive tax decreasing and increasing debt, programmed rarity of bitcoins acquires full meaning in the face of the upcoming monetary abundance.
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Passionate Bitcoin, I like to explore meanders blockchain and cryptos and share my discoveries with the community. My dream is to live in a world where privacy and financial freedom is guaranteed for everyone, and I firmly believe that Bitcoin is a tool that can make it possible.
Renunciation
The words and opinions expressed in this article are involved only by their author and should not be considered investment counseling. Do your own research before any investment decision.