Through the ups and downs of the past few decades, one thing that has remained constant is the growing US national debt. Today, the US national debt is about $20 trillion and growing. It is so huge that it is bigger than the entire GDP of the US. This is a ticking time bomb. However, the Coinbase CEO has a solution – crypto.
A Crypto Solution
This has largely gone unnoticed. The national government has put in place tax cuts, which means the US citizens, are not being forced to pay the debt back via taxation. Despite this, it is will affect the long-term prosperity of the US economy. To cope with the issue, the US has resulted in printing huge amounts of money out of nothing.
Brian Armstrong, the Coinbase CEO, believes that the solution lies in crypto. A recent report by the Wall Street Journal says that by 2030, the national debt of the US will rise to 98% of total GDP. The report claims that the national debt will hit the highest level since World War 2. According to the Coinbase CEO, this fact alone should force US citizens to adopt crypto.
In his Twitter thread, the CEO said that while many people considered crypto to be funny money, the US fiat currency was becoming the true funny money. He believes that this view of crypto will soon change, especially amongst young people. When this happens, he believes that people will start seeing crypto as real money since it is tamper-proof.
Other Financial Expert Echo Similar Sentiments
Recently Ray Dalio wrote a lengthy LinkedIn article in which he claimed that the system was broken. Some of the issues he cited include negative interest rates, growing wealth gaps, and huge liabilities in pensions. However, Dalio does not think Bitcoin is the solution. However, he expects that there will be a huge paradigm shift in the global economy due to the various problems that plague it.
Deutsche Bank agrees with the positive sentiment around crypto. A recent report by Bloomberg says that the bank believes crypto could soon overtake fiat currencies.