$20 Trillion US Debt Will Inevitably Lead to Big Crypto Boom

[kryptqnick]

Voorhees suggested that to repay the national debt, the government and the federal reserve will be forced to print more fiat money, leading to inflation and a decline in the purchasing power of the US dollar.
If a financial crisis is to occur by the end of 2020 as predicted by many economists in the US primarily due to the overly high-interest rate set forth by the Federal Reserve, then the US dollar could drop substantially in value and open up investors to stores of value such as gold and cryptocurrencies whose value is not dependent of the global economy.

I completely agree with Voorhees that debt stimulates printing more money and inflation will burst eventually. Once the USD is crushed, I think it will be a catastrophy for the fiat system as such, because dollar is supposed to signify stability, be something that other fiat currencies also rely on. EUR might survive longer, but it will be just a matter of time. Returning to backing money with gold won't make much sense, because there isn't enough gold anyway. Cryptocurrencies might be what saves the world, with their naturally limited supply offering a financial system with no risk of hyperinflation.

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[[ProTrader]]

I expect that to happen. If Donald Trump cannot find a way to minimize their deficit to battle the inflation, USA economy will collapse and the people will suffer. It is better to save some for the storm coming.

[darkangel11]

I expect that to happen. If Donald Trump cannot find a way to minimize their deficit to battle the inflation, USA economy will collapse and the people will suffer. It is better to save some for the storm coming.

It will collapse but we don't know how long it will take. It may be in the next 10 years, but it can also be 20 or 50 years. Counting on profits from a possible US economy collapse is pretty naive. Holding some cryptocurrencies just to play it safe is smart. Don't be greedy, treat it like a failsafe.

[NotifyCoin]

Yeah who knows how long it will take for this to actually play out. We could see a stagflation scenario like what happened with Japan in the 1990's, which wouldn't see a huge jump to crypto, hard to say!

[Gamblet]

I think that at the moment it is difficult to say how Bitcoin will behave during the economic crisis. It will be a difficult time and I think that Bitcoin has a chance to survive in these years.

[maianh09]

This will affect the direction and movement of Cryptocurrency. But using Crypto to get rid of this debt will make things worse, so I'm sure this will not happen. It is a great solution, but the creditors will not be foolish to accept this solution.

[khaled0111]

I hope so. But, what is the link between the financial crisis and cryptocurrencies.
I am not a financial expert that is why I am wondering about how this crisis may affect the cryptocurrency market!

[waterman]

21.7 trillion $ Oh my GOD! The U.S debt is the biggest in the world? to Whom we owe this money?  This is scary and exciting at the same time I mean I do not want another economic crisis but we will love to see the price of Bitcoin rise up but not because of an economic crisis. Lets hope that the federal reserve, banks and the government know what are they doing and not mess up everything

[cellard]

unfortunately i can not see any kind of "crypto" boom in our near future because the "cryptos" are mostly pump and dumps and you can not expect any kind of real booms from any of them.
the pumps can only take the price so high before it busts and the coin gets dumped hard. as you can see from the market of this year as the altcoins continue getting dumped to this day.

bitcoin is another matter. the US economy might collapse and we start seeing some economy crisis and in that case bitcoin may start shining and increases its price.

Of course altcoins are nonsense and will not play a major role may the US collapse (which it definitely should on our lifetimes assuming you are around age 60... since it should happen within the next 20).

Some theorize that Bitcoin was created by US intelligence or some other big party (your pick here... Israel, Rothchilds, anyone big you like) in order to avoid the fiat collapse and have a neutral safe haven that allows for seamless movements in the information age (so gold doesn't cut it). I find it ironic that there's $21 trillion in debt and 21 million Bitcoin total... it's like a perfect storm for $1,000,000 BTC.

[jseverson]

That's what Voorhees is overlooking -- there's no guarantee if/when the US Dollar collapses that Bitcoin will be an established, trusted asset yet. Whether Bitcoin could serve as the "escape route" really depends on how far along we are with adoption and legitimacy.

That's true. I certainly don't think it's going to happen within today to 2020, which is apparently when they think it'll happen:

If a financial crisis is to occur by the end of 2020 as predicted by many economists in the US primarily due to the overly high-interest rate set forth by the Federal Reserve, then the US dollar could drop substantially in value and open up investors to stores of value such as gold and cryptocurrencies whose value is not dependent of the global economy.

We'll see though I suppose. Maybe some unexpected development can fast track adoption.