• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

How Bitcoin May Help Reduce US National Debt According to VanEck

user avatar

by Giorgi Kostiuk

3 months ago


A recent report from VanEck suggests that strategic Bitcoin reserves could reduce the US national debt by 36% by 2050. Senator Cynthia Lummis supports the idea of accumulating 1 million Bitcoins over the next five years.

Bitcoin's Role in Reducing Debt

VanEck's analysis shows that with an annual appreciation of 25%, Bitcoin could drastically reduce the US debt. By 2049, Bitcoin's value might rise to $42 trillion, surpassing the US national debt, and offsetting approximately 35% of it. This forecast assumes an optimistic growth trajectory, starting at $200,000 per Bitcoin in 2025.

This strategy could provide long-term financial stability.Matthew Sigel and Nathan Frankovitz, VanEck

Bitcoin's Growing Importance in Global Finance

The report suggests that Bitcoin's rise could make it a significant player in the global financial market. By 2049, each Bitcoin could be valued at $42.3 million, comprising 18% of global financial assets. This scenario depends on Bitcoin's adoption as a global settlement currency, a notion supported by VanEck.

It's very possible Bitcoin will be widely used as a settlement currency for global trade by countries wanting to avoid the parabolic increase in USD sanctions.Matthew Sigel

Strategic Steps for Adoption

VanEck suggests halting the sale of Bitcoin from US asset forfeiture reserves, currently holding around 198,100 Bitcoins, and using these without taxpayer funds. They also propose aligning US gold reserves with market prices to purchase Bitcoin through the Exchange Stabilization Fund, setting the stage for quick Bitcoin reserve establishment.

While the idea of using Bitcoin as a solution for managing national debt is controversial, it represents a significant move towards a digital economic future. Critics continue to discuss alternatives and potential risks.

0

Share

Other news

Nexchain: A Promising Project at the Intersection of Blockchain and AI

Nexchain represents a new project in the blockchain market integrating AI for high speed and efficiency.

user avatarGiorgi Kostiuk

4 minutes ago

Crypto Fear & Greed Index Signals Recovery

Crypto Fear & Greed Index rises to 25, indicating increased investor confidence despite caution.

user avatarGiorgi Kostiuk

6 minutes ago

Dollar Shows Strength While Euro Weakens: Analyzing Forex Trends

Exploring recent shifts of the dollar and euro in the Forex market and their implications for the economy and traders.

user avatarGiorgi Kostiuk

7 minutes ago

OKX Fined €1.1 Million by Malta for AML Violations

Crypto exchange OKX fined €1.1 million by Malta for systematic breaches of anti-money laundering regulations.

user avatarGiorgi Kostiuk

9 minutes ago

How the Energy Crisis is Shaping Bitcoin Mining in 2025

In 2025, rising electricity prices reshape the Bitcoin mining landscape, creating demand for cloud solutions to reduce costs.

user avatarGiorgi Kostiuk

14 minutes ago

Strategic Cooperation Between Kyrgyzstan and Changpeng Zhao to Develop Blockchain

Kyrgyzstan has signed a Memorandum of Understanding with Changpeng Zhao to develop blockchain infrastructure and cryptocurrency.

user avatarGiorgi Kostiuk

17 minutes ago

dapp expert logo
© 2020-2025. DappExpert. All rights reserved.
© 2020-2025. DappExpert. All rights reserved.

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.