The increasing US debt-to-GDP ratio is a critical concern for the economy, indicating potential financial instability. This imbalance requires significant intervention, with Arthur Hayes, former BitMEX CEO, highlighting the need for $10.5 trillion in new credit to address the situation effectively.
Such massive credit infusions could lead to increased inflationary pressures, a situation where Bitcoin might find heightened value due to its nature as a decentralized and finite asset.
Bitcoin's limited supply could make it an attractive hedge against inflation, drawing interest from investors seeking alternatives to traditional fiat currency.
