Brian Armstrong, CEO of Coinbase, has voiced strong concerns over the growing U.S. national debt, which is nearly surpassing $37 trillion.
In a recent tweet, Armstrong warned that the government’s failure to rein in its fiscal practices could open the door for Bitcoin to emerge as the new global reserve currency.
He acknowledged his admiration for Bitcoin but emphasized the importance of maintaining America’s economic leadership.
“I love Bitcoin, but a strong America is also super important for the world. We need to get our finances under control,” he stated.
Armstrong’s comments reflect a rising unease among investors and analysts about the long-term sustainability of U.S. monetary policy, especially as inflation pressures and fiscal deficits intensify.
Political Legislation Adds Fuel to Economic Fears
Armstrong’s statement comes in the wake of a controversial bill recently passed by House Republicans, backed by former President Donald Trump.
The legislation, dubbed the “big, beautiful bill”, extends Trump-era tax cuts, increases military spending, and makes deep reductions to social safety programs such as Medicaid, food assistance, and clean energy initiatives.
While proponents argue the bill will drive economic growth, critics warn it could add more than $3 trillion to the national debt if its provisions become permanent.
Among the critics are six Nobel Prize-winning economists who view the bill as fiscally irresponsible.
The political polarization and legislative uncertainty are contributing to a growing sentiment that alternative financial systems, particularly Bitcoin, may offer more stability.
Also Read: BlackRock CEO Larry Fink: US Debt Crisis Could Drive Bitcoin Adoption
Bitcoin’s Deflationary Model Gains Credibility as a Hedge
In contrast to the ever-expanding U.S. debt, Bitcoin’s limited supply and decentralized design have become increasingly attractive to institutional and governmental actors.
Originating in the wake of the 2008 financial crisis, Bitcoin was purpose-built to operate independently of central banks and resist inflation.
The core principle is now resonating more than ever. States like New Hampshire and Arizona have already taken steps to hold Bitcoin as part of their reserves, with advocates arguing it serves as a strategic hedge against the weakening dollar.
As concerns mount over fiat devaluation, the narrative of Bitcoin as a safe haven asset is gaining traction not just with private investors, but also within public finance circles.
Economic Thinkers and Tech Leaders Amplify Warnings
Renowned economists including Paul Krugman and Joseph Stiglitz have condemned the recent fiscal decisions in Washington, warning they will deepen income inequality and destabilize the economy.
Their concerns are being amplified by tech industry voices such as Elon Musk, who weighed his opinion on X (formerly Twitter).
Musk pointed out that 25% of all U.S. government revenue now goes toward interest payments on the national debt, more than $100 billion per month.
“If massive deficit spending continues, there will only be money for interest payments and nothing else! No social security, no medical, no defense,” Musk warned.
These dire assessments have led many to explore Bitcoin not just as an investment, but as a structural alternative to fiat dominance.
Global Financial Order at a Crossroads
The convergence of political dysfunction, mounting debt, and growing institutional skepticism of fiat currencies has intensified speculation that Bitcoin could play a central role in the future global financial system.
Influencers like Stadelmann argue that if confidence in the dollar collapses, a flood of capital could move into Bitcoin, causing supply constraints and price surges.
The potential shift has far-reaching implications: it could redefine global trade, currency reserves, and economic power dynamics.
As the U.S. grapples with the consequences of its fiscal decisions, Armstrong’s warning doesn’t just echo market sentiment, it serves as a stark reminder that the era of unquestioned dollar dominance may be nearing its end.
Also Read: Trump’s Crypto Reserve Vision Gains Traction Amid US $35T Debt Crisis; BOA Bets On Gold