Today is a record moment in US #history. The total national debt has surpassed $22 trillion for the first time ever.
The runaway mountain of #debt is a terrifying reminder of how fragile the fiat monetary system is. If you want to watch it pile up in real #time, visit the US debt clock. It’s a sobering #vision of a system out of control.
This is why bitcoin matters. #Bitcoin, with its fixed supply and anti-inflationary policy, is an antidote in waiting.
US DEBT CLIMBS BY $1 TRILLION IN A YEAR
The national debt jumped $30 billion in the last #month alone. In total, the US racked up more than $1 #trillion worth of debt in the last year.
The debt has spiraled since Donald #Trump introduced his $1.5 billion tax cut plan last year. However, we should point out that #Obama was a much worse offender. The #national debt doubled under his presidency.
This isn’t the fault of any one #president. It’s the fault of an economic system that is slowly failing us.
Although many will maintain the #economy is booming, this is a car crash coming in slow-motion. As Jared Bernstein, a senior fellow at the #Center on #Budget and Policy Priorities explained to CNBC:
“Even if you think that #public debt just doesn’t matter to economic outcomes, the thing you have to admit is that when we hit a #downturn, governments are less likely to take significant steps if the #debt is as high as ours is now.”
THIS IS WHY BITCOIN MATTERS
When the next #recession comes (AND IT WILL!!!), the #US will find it much more difficult to pay back the #debt. And they’re unlikely to support struggling #institutions like they did in the wake of the 2008 crisis.
Instead, they’ll be forced to turn to the #FederalReserve to print more dollars.
In effect, this increases inflation and pushes down the purchasing power of your #money. In the worst cases, it can lead to hyperinflation as we’ve seen in #Venezuela.
Bitcoin is the alternative #monetary system. It’s the #antithesis of fiat money like the dollar.
Unlike fiat, it has a fixed supply so central #banks can’t endlessly print more. And its monetary policy is not controlled or manipulated by any one #entity.
When the debt bubble finally pops, people will flock to an alternative. #ShapeShift CEO Erik Vorhees has predicted that the growing #national debt will inevitably lead to a crypto #boom.
For now, the national debt continues to build. As Judd #Gregg and Edward Rendell of #Campaign to Fix the Debt conclude:
“[This] is another sad reminder of the inexcusable #tab our nation’s leaders continue to run up and will leave for the next #generation.”
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