Brian Armstrong says that Bitcoin may become a global reserve if the United States fails to act

The failure to pay the US debt may lead to significant economic repercussions, high interest rates, loss of jobs, and the weakest dollar. With debts worth $ 36 trillion and 122 % of debts to gross domestic product, high costs and political Gridlock before the ceiling deadline in August 2025 add pressure. However, the United States has never left behind, and Treasury officials believe that it can be avoided by working in time. Given the current scenario, Coanbase Brian Armstrong warns that Bitcoin can replace the US dollar as a backup currency in the world if America fails to control its spending.

However, so far, Bitcoin has failed to benefit from American debt cycle. Currently trading about 104,500 dollars, BTC is at a critical level instead of rise, even with the weakening of the US dollar and economic uncertainty grows.

Bitcoin call grows amid the high debts of the United States

Take armstrong to X this week, Expression Bitcoin support but expression of anxiety about the financial path of America. “I love Bitcoin, but the strong America is very important to the world,” he wrote. “We need to control our financial resources.”

Comments come at a time when the American debt reaches the highest historical level, with financial responsibility in the political debate center. Armstrong warned that if voters did not press Congress to reduce deficit, Bitcoin may develop naturally into the dominant global currency.

His warning acquires traction with the high institutional demand for bitcoin, and is enhanced by the fixed width and its increasing reputation as a hedge against inflation.

But the encryption analyst Windy S. Bitcoin is believed to not become a backup currency due to its high fluctuations. However, she says it will remain in the request. From her point of view, Stablecoin is likely to fill the role of global reserve currency.

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Trump -backed Bill faces a violent reaction

Moreover, timing can not be hotter. Republicans in the House of Representatives pay an amazing bill from Trump that extends tax exemptions, increases military spending, and cuts social programs. Critics, including six Nobel Prize -winning economists, say it can add 3 trillion dollars to national debt if they become permanent.

Tesla Elusk CEO criticized the bill as “an abomination full of pork and disgusting,” warning that the deficit could pay to $ 2.5 trillion annually.

Bitcoin Reserve acquires momentum?

In parallel news, American legislators explore Bitcoin as a strategic reserve origin. The draft law submitted by Senate Cinnia Lomes proposes that the treasury accumulates a million BTC, which is about 5 % of the total offer, to hedge against long -term financial instability.

Under the proposal, BTC will be stored in a central cellar, funded by the current treasury assets. Lummis frame it as a recent copy of the Gold Reserve, on the pretext that it could protect the value of the dollar and enhance national security.

With Trump pushed to make the United States a global encoding center and high lack of confidence in traditional monetary policy, Bitcoin is approaching the heart of the US financial strategy.