With the U.S. national debt now exceeding $36.9 trillion, Coinbase (NASDAQ: COIN) CEO Brian Armstrong is raising fresh concerns about America’s fiscal trajectory—and what it could mean for Bitcoin. Armstrong suggested that if the U.S. government continues spending beyond its means, Bitcoin could evolve into a globally significant asset, even serving as a secondary reserve currency for other nations.
Far from a doomsday prediction, Armstrong framed his comments as a pragmatic reflection of shifting trust in traditional financial systems. As confidence in fiat currencies wanes, he argued, alternatives like cryptocurrency may start appearing less speculative and more essential.
At the heart of his warning lies a stark fiscal reality: the U.S. is on track for a record-breaking $2.5 trillion budget deficit this year, while interest payments on the national debt continue to climb. The mounting costs are straining the foundations of the American financial model.
Armstrong’s remarks have resonated far beyond financial circles. Jimmy Donaldson, better known as MrBeast and one of the world’s most influential digital creators, echoed the concern by questioning the logic of an economy spiraling toward $100 trillion in debt—while still expecting investors to fund it.
Tesla and SpaceX CEO Elon Musk also joined the chorus of criticism, calling the latest federal budget “a disaster.” Although the budget includes some spending cuts, analysts argue they fall short of altering the nation’s fiscal direction. Economists now warn that the U.S. could face an annual deficit of $5 trillion within the next decade. With interest rates elevated, debt servicing costs alone are becoming a serious burden.
Against this backdrop, Bitcoin’s appeal may shift from ideological to practical. As traditional systems show signs of strain, individuals and governments alike may begin to view Bitcoin not as a radical alternative, but as a necessary hedge—or even a contingency plan.
Whether seen as a store of value, a financial safeguard, or a last resort, Bitcoin’s relevance is rising in tandem with doubts about the long-term sustainability of fiat-based economic systems. As Armstrong alluded to, this shift is less about speculation—and more about preparation.
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