BTC strengthens due to volatility in US financial policy

The US government spends more money every year than it receives into the state budget. According to the latest dataCongressional Budget Office, Presidential Administration Donald Trump last year had a budget deficit of $ 960 billion.

According to the forecasts of this structure, the treasury deficit will amount to $ 1 trillion in the United States annually. Thus, by 2029, the country's budget deficit will grow to $ 12.2 trillion, or 4.7% of GDP.

Bitcoin will benefit from this trend, said Travis Kling, chief investment officer of Ikigai Asset Management.

This is a chart from @USCBO showing that the US deficit will never be less than $ 1tn a year again.

Never Less than. A trillion. A year.

Bitcoin is an insurance policy against monetary and fiscal policy irresponsibility from central banks and governments globally. pic.twitter.com/pnOAG1bwuY

- Travis Kling (@Travis_Kling) January 21, 2020

Not only the United States conduct risky financialpolitics, the central banks of many countries act in a similar way. Bitcoin acts as a safe haven asset that will protect investors ’funds, since it does not depend on governments and regulators, the businessman emphasized.

In addition to Travis Kling, many other financiers see the first cryptocurrency as a form of preserving capital.

Last year, several studies were published that said much the same thing: that the role of Bitcoin is strengthening in the face of global economic instability.

</p>

Rate this publication