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The US national debt has already swollen to $36 trillion, while last year's GDP growth was only $1.42 trillion, and the annual debt interest payments alone exceed $1 trillion — a figure that is truly staggering. If this trend continues, the US will inevitably face insolvency. So the question is, who will foot the bill?
Over the past decade, the status of the US dollar has been quietly weakening. The emergence of BRICS countries, small nations like El Salvador officially adopting BTC as legal tender, and the European Union establishing a unified euro settlement system — all are eroding the dominance of the dollar.
In the past four years, the Federal Reserve has aggressively raised interest rates, causing severe shocks to the global economy. Countries like Japan, South Korea, Sri Lanka, Brazil, Argentina, and Nigeria have seen their fiat currencies depreciate by over 25%, with some exceeding 40%. Sri Lanka even went bankrupt outright. This has been the most intense "dollar tide" in history.
How will the US reassert its position as the global financial leader? On January 20, Trump officially took over the presidency. What are his cards in these four years? Based on his recent policy directions, the answer is clear — a crypto-led governance model.
This nearly 70-year-old man has been a strong advocate for cryptocurrencies since his campaign, and he has quickly fulfilled his promises after taking office. He is evidently planning a major strategic move to reshape America's financial standing. The first step is: establishing Bitcoin as a national strategic reserve currency.
How bold is this move? It’s like backing the dollar with crypto assets, making BTC a replacement for the gold standard in the new era. This not only attracts global crypto capital into the US but also fundamentally shifts the world’s perception of the dollar — upgrading from traditional fiat to a new paradigm of "crypto fiat."
The next steps are likely to unfold gradually, involving loosening regulatory frameworks, establishing official digital asset reserves, and hedging geopolitical risks. In simple terms, it’s about using this new crypto system to save the already battered dollar system. Whether this risky move succeeds will directly determine the global financial landscape over the next decade.