Goldman Sachs has raised alarms regarding U.S. fiscal policy, warning of potential severe economic consequences due to unsustainable national debt growth.
Debt Payment Forecast
Goldman Sachs economists emphasize that current fiscal policies fail to address the growing U.S. national debt, which is already at levels close to post-World War II records. In 2026, debt payments are expected to reach **$1 trillion in interest**, exceeding Medicare and defense budgets.
Bitcoin Market Response Amid Fiscal Concerns
As of June 20, 2025, Bitcoin (BTC) holds a **$2.08 trillion** market cap, with a price of **$104,709.70**. The Coincu research team suggests that failure to manage fiscal challenges could lead to a shift towards more stable perceived assets, such as cryptocurrencies, in response to concerns over fiat currency devaluation.
Need for Reforms
Goldman Sachs warns that if the debt continues to grow, interest expenses could become so large that stabilizing the debt-to-GDP ratio would require persistent fiscal surpluses, which are historically difficult to sustain due to economic and political challenges.
Goldman Sachs' insights on unsustainable debt growth underline the urgent need for fiscal reforms to avoid serious economic repercussions.