“`html
Investors are seeking refuge in safe-haven assets, such as Bitcoin and gold, as the US national debt approaches an unprecedented $38 trillion.
The current national debt of the United States, at $37.9 trillion, is escalating by $69,890 every second — or nearly $4.2 million each minute — over the past year, according to the debt dashboard of the US Congress Joint Economic Committee (JEC).
This amounts to an astonishing $6 billion daily — greater than the gross domestic product of over 30 nations, based on information from Worldometer.
US Representative Keith Self commented on Friday that the debt figure is predicted to exceed $38 trillion in a matter of weeks and potentially reach $50 trillion within a decade, urging for urgent measures to be taken.
“Congress must take action immediately—demand fiscal prudence from your representatives before the slow decline turns into an abrupt failure.”
If current trends continue, the US is anticipated to exceed $38 trillion in 20 days.
Investors gravitate towards Bitcoin and gold
Last week, JPMorgan praised Bitcoin (BTC) and gold as the “debasement trade” in light of heightened uncertainty surrounding the dollar.
This occurred as Bitcoin reached a new record of $125,506 on Saturday, while gold achieved a new peak of $3,920 on Sunday.
Bitcoin’s limited supply and decentralized character have attracted greater institutional interest, with figures like BlackRock CEO Larry Fink — once critical of Bitcoin — stating in January that Bitcoin could reach $700,000 due to currency debasement concerns.
Ray Dalio, founder of the world’s largest hedge fund, Bridgewater Associates, advised in July that investors should allocate 15% of their investments in tangible assets like Bitcoin or gold for the “optimal return-to-risk ratio.”
It’s not only America, Dalio notes
At that time, Dalio mentioned that other Western nations, such as the UK, would encounter the same “debt doom loop” predicament and that their currencies would continue to lag behind Bitcoin and gold, which he referred to as an “effective diversifier.”
Reuters reported late last month that global debt surged to a historic high of $337.7 trillion by the end of the second quarter, driven by additional quantitative easing and a weaker US dollar, as per data from the Institute of International Finance.
Trump’s initiatives to curb US debt
Reducing federal expenditure and minimizing the deficit have been highlighted as policy goals during the Trump presidency.
For a few months, the Trump administration enlisted Tesla CEO Elon Musk to aid the Department of Government Efficiency to decrease spending, achieving $214 billion in savings thus far. Nonetheless,
Related: Bitcoin ETFs spark ‘Uptober’ with $3.2B in the second-best week recorded
However, President Donald Trump enacted what he termed the “Big Beautiful Bill Act” in July, aiming to save over $1.6 trillion in federal expenses.
Musk departed as his 130-day term as a special government employee was approaching its conclusion, with his previously strong relationship with Trump becoming strained.
However, the implementation of that bill contributed to pushing US debt over the $37 trillion threshold and is projected to cost $3.4 trillion over the subsequent decade.
Thanks to the One Big Beautiful Bill Act, the debt just officially surpassed the $37 trillion mark. pic.twitter.com/x4iCOdL2q5
— Thomas Massie (@RepThomasMassie) August 13, 2025
Magazine: Crypto aimed to displace banks, now it’s becoming them in the stablecoin struggle
Source link
“`