Everyone needs to be prepared because the U.S. has started to seize money. (The article is a bit long, please read patiently to the end.)
Many people may underestimate the impact stablecoins have on ordinary people; to put it bluntly, the essence of stablecoins is a tool that can bypass sovereign-level protection and directly loot the wallets of every ordinary person.
Especially for us who are in a deflationary cycle, a small mistake could cause decades of accumulated wealth to vanish overnight.
It is evident that a world war centered around capital is imminent. So what is the logic behind it? What kind of capital trap is hidden behind stablecoins?
In the past month, I have seen many people interpreting stablecoins, and most people define stablecoins as a means to prolong the life of U.S. debt, which is undoubtedly correct.
But there is a very important key point that seems to be deliberately avoided by everyone.
And this is precisely the most fatal attribute of stablecoins; it is decentralized cross-border payment.
To understand the logic behind this, we need to start with the economic predicament of the U.S.
It is well known that the biggest problem the U.S. currently faces is U.S. government debt.
Theoretically, there are five ways to resolve the U.S. debt crisis.
The first method is the return of manufacturing, which is essentially about building factories and getting Americans to work in them to earn money to pay off debts.
This plan was first proposed by the Obama administration in 2009, along with measures such as revitalizing the U.S. manufacturing framework, the Manufacturing Promotion Act, and a $100 million apprenticeship program.
But the reality is disappointing; from 2010 to 2020, the U.S. added only a meager 1 million manufacturing jobs, compared to the loss of 8 million jobs, which is merely a drop in the bucket.
The reason is simple: labor costs are too high.
According to current data, the average hourly wage for U.S. manufacturing workers is between $20 and $25, with some high-paying states even exceeding $30. Such high costs make it impossible for manufacturing to return to the U.S., so this route has failed.
Since the return of industry is not feasible, can we directly increase income?
The U.S. has also tried this route, which corresponds to the trade protectionism during the first term of the former president.
After all, compared to having Americans work in factories, directly collecting money is obviously faster.
But in reality, the incremental revenue brought about by increasing tariffs during the entire Trump administration was negligible.
From the data in 2020, although the tariff increase brought about $40 billion in incremental revenue for the U.S., the rise in tariffs increased production costs for businesses, resulting in a reduction of about $20 billion in corporate income tax, which means it was essentially a wash.
This also made the former president realize that, in the context of global trade integration, targeting a single economy with trade suppression cannot make America wealthy.
So in the second term, the former president chose to impose comprehensive taxation, but as everyone saw, this second path also proved unfeasible.
Is there a third method?
The answer is yes.
That is to say, friends who have borrowed money from banks should know that when you can't get a loan, as long as you upload your income details, supplement your tax information, and show your financial strength to the bank, you can immediately increase your credit limit.
So what is the best credit enhancement measure for a country?
Four words: military strength.
So during the Biden era, the U.S. began to prepare to stabilize its dominant position through military strength, thereby increasing its debt.
But the reality is a slap in the face; after several battles, not only did they not gain any advantage, but they also lost their prestige.
Thus, the path of military credit enhancement has also been cut off.
Since no path is feasible, then the fourth path of increasing revenue and cutting expenditures should at least be possible, right?
Thus, Musk and his efficiency department in the U.S. took office.
But Rome wasn't built in a day, and Commissioner Smith's wallet wasn't filled overnight; the final result is that cuts were made, and the only one cut was Musk himself.
At this point, we find that in the face of the current debt problem, neither increasing revenue nor cutting expenses works, so the only option left for the U.S. is to seize money.
Whose money is being seized? Of course, it’s the rich who are targeted.
And the richest thing in today's world is turmoil.
According to the latest data, by the end of the first quarter of 2025, our residents' deposit balance has surpassed 160 trillion yuan, doubling from 76.3 trillion five years ago.
From the perspective of the U.S., instead of painfully entering the market to tighten screws, if they can directly pocket this $160 trillion, it would not only solve immediate problems but could even allow America to thrive for another 100 years.
In other words, our residents' deposits are seen as a piece of fat meat in the eyes of the U.S.
But our foreign exchange system determines that residents' deposits cannot go abroad.
Many people have criticized our foreign exchange system, but in reality, it is this layer of protection that has allowed ordinary people to avoid the Asian financial crisis of '98 and the subprime mortgage crisis of '08, making European and American capital only able to watch helplessly when facing our piece of fat meat.
But the emergence of stablecoins is likely to become a breakthrough point for European and American capital.
By bypassing regulation through blockchain technology, they have directly seized the wealth of our residents, which is the underlying logic of stablecoins.
Let’s take a simple example: if Company A in the U.S. obtains the right to issue stablecoins, then all of Company A's actions are completely regulated by the U.S.
However, A Company's customers, i.e., the investors in stablecoins, can come from any corner of the world.
This customer could be an international criminal, a gang leader, or just an ordinary resident, yet this resident controls an astonishing amount of funds reaching 160 trillion.
Within this framework, Company A and its stablecoin essentially become the U.S.'s frontman or a legitimate money house within the U.S.
Many people view our WeChat Pay and Alipay as a form of stablecoin; this logic is fundamentally flawed.
Whether it’s Alipay or WeChat Pay, it is still within the internal circulation of capital.
Although it is electronic and can facilitate digital payments, it does not have the capability to pool funds across borders, and it is not even pegged one-to-one with the yuan; it is merely a form of electronic bookkeeping.
Therefore, WeChat Pay and Alipay can only be considered electronic cash, not stablecoins.
When a large amount of capital flows into the U.S. in the form of stablecoins, it means covering and taking over U.S. government bonds, which signifies domestic wealth.
The wealth we have accumulated through 40 years of global trade will be looted in an instant.
Because when the money in the market decreases while internal demand is weak, what we will face will be comprehensive stagflation.
At this time, someone might say, how can there be so many ordinary people buying stablecoins?
We must not forget that just a few years ago, PXP, the most typical Ponzi scheme, had a peak stock exceeding 50 trillion, and most participants were just ordinary working-class people. Some relied on empty family assets, some scraped together funds, and others took out loans.
And this 50 trillion is just the tip of the iceberg; when a Ponzi scheme backed by the dollar appears, the consequences are truly hard to estimate.
Never underestimate the shamelessness of opponents, nor overestimate the intelligence of the masses, because human nature is always greedy.
So, can we block this path? To be honest, it really is difficult.
Not to mention decentralization; the blockchain technology itself is designed for regulation, and over the past few years, how many investors and how much capital have participated through various channels is actually hard to estimate.
To put it simply, it’s not that we don’t want to manage it, but the difficulty of managing it is indeed quite high. So at this moment, we should clearly realize that when the U.S. stablecoin is launched, and when this hidden capital siphoning system is constructed, it means that a global capital war has already begun.
The first affected might only be some small countries with unstable currencies, but as the scale continues to spread, the aftermath of this war will eventually affect you and me, and our only option is to proactively confront it.
