🔥 U.S. National Debt recently surpassed $40 trillion, "very rapidly", and Trump says that “certain levels of inflation will also pay off that debt very rapidly”. $BTC $RLC $VTHO
🔥 Inflation can reduce the real value of existing debt....
📊 How Inflation Reduces Debt
Fixed-dollar debt obligations do not change as prices rise.
Rising wages and tax revenues increase nominal GDP, making older debt a smaller fraction of the overall economy.
Higher nominal growth lowers the overall debt-to-GDP ratio.
📉 If inflation stays elevated while rates remain low, scarce assets could become more attractive.
⁉️ And Bitcoin 👀
📈 Bitcoin’s supply growth is already extremely limited.
If inflation becomes a tool for managing America’s massive debt burden, could investors increasingly turn to Bitcoin as a hedge against currency debasement?
🚀 Could this be the setup for Bitcoin to reach astronomical prices?
🔥 Inflation can reduce the real value of existing debt....
📊 How Inflation Reduces Debt
Fixed-dollar debt obligations do not change as prices rise.
Rising wages and tax revenues increase nominal GDP, making older debt a smaller fraction of the overall economy.
Higher nominal growth lowers the overall debt-to-GDP ratio.
📉 If inflation stays elevated while rates remain low, scarce assets could become more attractive.
⁉️ And Bitcoin 👀
📈 Bitcoin’s supply growth is already extremely limited.
If inflation becomes a tool for managing America’s massive debt burden, could investors increasingly turn to Bitcoin as a hedge against currency debasement?
🚀 Could this be the setup for Bitcoin to reach astronomical prices?
