#TrumpTaxCuts 🌱🍀 #TrumpTaxCuts The impact of Trump's proposal on taxes and its effect on cryptocurrencies
President Trump has proposed to eliminate or substantially reduce federal income taxes in the U.S. once a new tariff regime is in effect. This measure could transform the economy, increasing the disposable income of citizens, but also generating concerns about inflation and public spending. With lower tax revenues, the government might resort to printing money, which would devalue the dollar and spike inflation. In this scenario, alternative assets like Bitcoin could benefit enormously. Bitcoin, seen as a store of value against inflation, could experience an increase in its adoption and price as investors seek to protect their wealth. However, a strict tariff regime could make imports more expensive, affecting purchasing power and slowing economic growth. This would generate volatility in the markets, including cryptocurrencies, which tend to be sensitive to macroeconomic uncertainty. Although Bitcoin could strengthen in the long term, the global economy would face significant adjustment challenges.