First, let me explain to friends who are not familiar with the events what exactly happened.
Brothers, take a look at my latest statistical data (chart). The U.S. debt has surpassed $37 trillion. What does this figure mean?

Let me put it this way:
Even if the U.S. disbands its military right now,
cuts all military spending,
and uses all the saved money to pay off debts,
it still wouldn't be enough to cover the interest on U.S. Treasury bonds.

Those who often borrow money know that there are generally three ways to solve debt problems without paying back.

The simplest way is to eliminate all creditors. The Americans considered this option, but later assessed the power dynamics and found that the risks were too high, ultimately having to give it up.

The second method is to collapse the creditors' economy, and then they can take advantage of the opportunity to buy low, using the harvested wealth to fill the gaps in U.S. Treasury bonds. However, after all the calculations, they found that our economy is very strong, and this path seems unfeasible.

In the end, left with no choice, the Americans were forced to choose the third path, their ultimate trump card — stablecoins.

So what are stablecoins? Essentially, they are a type of digital currency based on blockchain technology, with an exchange rate of 1:1 to the dollar. Friends who have been to an arcade should understand: when you play games at an arcade, one coin can be exchanged for one game token. Stablecoins are essentially game tokens, but the scope of the arcade has expanded to encompass the entire world.

So what does the stablecoin bill cover?
The gist is that if you are a U.S. company wanting to issue a stablecoin, you must first provide an equivalent amount of cash in U.S. dollars or purchase U.S. Treasury bonds as collateral. This is similar to the Bretton Woods system during the gold standard era, where for every portion of U.S. dollars issued, a large amount of gold had to be stored in the treasury. The only difference is that this time the currency issued changes from dollars to stablecoins, and the anchor item for the currency changes from gold to U.S. Treasury bonds.

In this way, stablecoins are tied to U.S. Treasury bonds. When you buy stablecoins, it's equivalent to indirectly supporting U.S. Treasury bonds. Previously, Trump was most worried about a large number of Treasury bonds maturing, and now the two biggest creditors, China and Japan, are selling off U.S. Treasury bonds. If no one buys U.S. Treasury bonds in the future, the U.S. debt crisis will explode.

Therefore, to avoid such a situation, he came up with the stablecoin bill. With this bill, anyone who buys stablecoins in the future will essentially be indirectly purchasing U.S. Treasury bonds. This means that everyone in the world is using their wealth to take on U.S. debt.

Don't think this doesn't concern you. The dollar is the world's currency. Once this door to massive money printing opens, the money in our hands will also depreciate. As for the extent of depreciation, it will depend on the speed at which Trump prints money indirectly.

I know some people will raise doubts, asking why we should buy stablecoins.




First, let's talk about the first group: why do U.S. companies want to issue stablecoins?

As we all know, buying U.S. Treasury bonds earns interest. At the current interest rate, it is about 5% per year. So if a U.S. company issues $1 million in stablecoins, it will simultaneously hold $1 million worth of U.S. Treasury bonds in its treasury, which means it can earn $50,000 in interest per year. If it issues $100 million, the interest would be $5 million, which is essentially making money effortlessly. This is the biggest motivation for them to issue stablecoins.

Moreover, the money used to buy U.S. Treasury bonds doesn't even need to be his own, because as long as someone is willing to purchase his $1 million stablecoin, it's equivalent to global investors pooling their money to help him buy U.S. Treasury bonds, and all the interest goes straight into his pocket. Who wouldn't want to engage in such a profitable business?

I know some people will say, why would global investors buy his stablecoin? Can't I just choose not to buy it?

Anyone who thinks this way is smart because you immediately see the crux of the problem: why should the whole world buy this U.S. stablecoin? Can't everyone see that this is just a way to exploit the masses?

No, there are plenty of smart people around the world. Everyone understands scams like Trump's game of passing the parcel, but due to three main reasons, they still have to buy this stablecoin.

The first reason is that stablecoins serve as a certificate for cryptocurrency transactions.

What does this mean? Many people around the world are buying Bitcoin and some virtual currencies, and 90% of them need to use stablecoins for settlement. It's like when you want to buy clothes on Taobao, you first need to download Alipay; stablecoins are like Alipay for the virtual currency market, a prerequisite for your transactions. If you want to buy coins, you need to spend money to buy some stablecoins.

The second reason is that stablecoins are actually a lifeline for certain countries.

Take Argentina, for example. Due to the chaos in the country, Argentina's annual inflation rate has reached 100%. For Argentinians, if no action is taken, their wealth will shrink by more than half each year. So how can this problem be solved? The answer is to buy stablecoins madly, as stablecoins are tied to the U.S. dollar and Treasury bonds, providing a certain degree of value preservation and preventing significant depreciation of their wealth.
Since the U.S. interest rate hikes after the Russia-Ukraine conflict in 2022, many countries around the world have experienced rampant currency depreciation. They all want to use stablecoins to combat currency devaluation, which is also a significant reason for the continuous rise in the prices of gold and Bitcoin — to counter devaluation risks.

The third reason is international trade; using stablecoins is more cost-effective.

For example, let me give you a case: you are a Chinese company, and now you need to make a payment to a Mexican client. Through traditional bank transfer, it takes 3 days to arrive and incurs a 5% fee. However, if you use stablecoins, it can arrive in just 10 seconds with a fee of only 0.1%. If you were in that position, which method would you choose?

It is precisely for this reason that a large number of companies actively choose stablecoins to save costs. According to the data I found, by 2025, the proportion of stablecoins in cross-border payments will have reached an astonishing 37%.

Currently, the world's largest stablecoin, USDT, holds $120 billion in U.S. Treasury bonds, exceeding the scale of the German central bank. According to the current trend, it is expected that by 2030, the scale of stablecoins will reach $2 trillion, which means that the global economy has effectively injected $1.6 trillion into U.S. Treasury bonds, enough to cover all the new debt incurred during Trump's term.

This is the true purpose behind Trump introducing various Trump coins, Melania coins, and the stablecoin bill: one is to profit for his family, and it's said they have already made several hundred million dollars; the other is to find ways for the whole world to take on U.S. dollar debt.

One person alone cannot accomplish great things; a lone sail cannot travel far! In the crypto space, if you don't have a good circle or insider information, I suggest you follow me and I'll lead you to safety. Welcome to join the team!!!


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