Bitcoin's $110,000 Frenzy: A Carefully Designed Trap in the Digital Currency World?
When Bitcoin broke through the $110,000 mark, the crypto community erupted — but don't rush to pop the champagne; this might not be the rallying cry of a bull market, but rather the U.S.'s carefully designed "On-chain U.S. Treasury Harvesting Machine."
The U.S. is facing the most severe debt crisis in 200 years: $6 trillion in U.S. Treasuries must be repaid by June 30. How scary is this number? It's equivalent to each American carrying $18,000 in debt. What’s worse, traditional buyers (central banks, pension funds) are collectively retreating: China has reduced its U.S. Treasury holdings for seven consecutive months, and Japan has also entered a "fire sale" mode.
As institutional investors exit, the U.S. is turning its gaze towards the wallets of 300 million retail investors. How to make the retail investors actively take over? The answer is to create a "wealth effect":
In 2024, Bitcoin skyrockets by 200%, breaking historical highs
Tesla announces it will accept Bitcoin payments
BlackRock and other asset management giants launch Bitcoin ETFs
These actions create the illusion that "digital gold" will only rise, attracting retail investors to jump in wildly. But few know that the real driving force behind this market may be the Federal Reserve’s new tactic of "debt monetization."
The recently passed stablecoin bill is the ultimate ace in this grand play:
Mandatory anchoring to U.S. Treasuries: All compliant stablecoins (USDC, USDT) must be backed 100% by U.S. Treasuries or USD reserves
Digital currency buyers: For every stablecoin issued, it automatically supplies $1 to the U.S. Treasury market
On-chain harvesting closed loop: Retail investors buy USDT with USD → USDT issuers buy U.S. Treasuries → U.S. Treasury interest is paid to USDT holders
This is not regulation; it is clearly turning cryptocurrencies into an "online distribution channel" for U.S. Treasuries! When you click "buy USDT" on the exchange, you may be unknowingly helping the U.S. government repay its debt.
Opportunities are fleeting, corrections are imminent, and it's time to position yourself in spot trading and take advantage of altcoin profits waiting for you! Doubling your investment is not a dream; tap on my avatar to follow me and join the bull market feast!
