Could the US crash the Cryptocurrency Market to pay its debt?
Five days ago, CoinTelegraph highlighted a surprising statement from an advisor to Russian President Vladimir Putin: the United States could leverage the crypto market to reduce its immense $37 trillion debt.
At first glance, the idea seems absurd. But it is worth exploring the reasoning behind this hypothesis.
How would this strategy work?
According to the theory, the US government would have indirect access to the reserves of two major stablecoins: USDC (Circle) and USDT (Tether). From there, the speculative scenario would be as follows:
Forced Bull Phase – Massive liquidity injection into crypto, driving Bitcoin, Ethereum, and altcoins to a rapid surge.
Peak and Euphoria – Retail and institutions flood in, pushing the market to euphoric highs.
Reversal and Collapse – A violent correction wipes trillions in market value, leaving late investors at a loss while the US government drains liquidity and emerges strengthened.
Why does this thesis attract attention?
Even if it turns out to be mere speculation, the logic raises an important point: the US debt crisis is real, and unconventional solutions are increasingly on the radar. In this context, cryptocurrencies can be seen not just as investment assets, but as pieces in a geopolitical chess game.
What does this mean for the investor?
If this hypothesis has any basis, the next big surge may not just be an opportunity but also a trap. An investor who enters without a plan might end up providing liquidity for larger strategic moves.
The lesson is clear: do not be carried away by mere euphoria. Have an entry strategy, risk management, and an exit plan.
In a market where governments and institutions can dictate the pace, patience and discipline are worth more than the haste to chase green candles.