The U.S. is once again going to war, but this time it's not about fighting; it's about attacking the wallets of all humanity.

Trump directly announced: Starting August 1, tariffs of 15–20% will be imposed across the board on over 150 countries, with rates tripling to 30% for the EU and Mexico, and a 'double taxation' for China, which immediately retaliated with a 50% increase.

Moreover, the tax rates on steel, aluminum, and home appliances have skyrocketed to over 50%, pushing consumer goods prices to new heights. CPI data has already risen to 2.7%, reigniting inflation!

This releases a key signal:

The U.S. no longer wants to engage in financial warfare, shifting to trade wars to collect protection fees.


What does this mean for the crypto space?

In other words, once the trade war escalates, traditional assets are all at risk—whether it’s the stock market, bond market, foreign exchange, or commodities, they all suffer from 'political losses.'

At this time, only Bitcoin, a pure asset not controlled by any country, has the chance to create a new narrative.

This is Bitcoin's natural home ground.

Because of BTC:

Not controlled by the Federal Reserve, not relying on any central bank for sustenance;

No borders, no tariffs, not afraid of sanctions;

Global circulation, with both anti-inflation and anti-censorship properties exploding.

In a nutshell—tariffs hit nations, but Bitcoin wins faith.

After this news, U.S. stocks will definitely be dragged down first, especially companies focused on exports and manufacturing will face significant trouble.

With U.S. interest rate hikes still ongoing, the tariffs are causing disruptions, which means the Fed's rate cut expectations will be delayed, negatively impacting market sentiment in the short term.

But in the medium to long term, this is a huge positive for the crypto space, especially focusing on the following sectors:

BTC: The narrative of digital gold is strengthening, with a significant increase in demand for capital hedging;

USDT/USDC: The demand for cross-border capital globally will surge, and stablecoins will become the preferred tool in the gray area;

Layer 2 & cross-chain payments: Small countries bypassing the dollar settlement system may see a surge in demand for on-chain payments;

RWA/on-chain physical assets: As global funds de-dollarize, there is a need to find new anchoring channels; on-chain RWA is a necessity.

Xiao Chen's viewpoint:

This is not just ordinary news; this is the trigger for the medium to long-term value reassessment of Bitcoin.

The global crypto narrative has shifted from 'halving market' to 'political risk hedging logic'; this is a brand new alpha!

The more chaotic the market, the clearer the trend. Don’t just stare at the K-line every day; those who can understand the macro direction are the ones who can truly benefit.

The U.S. is starting to collect protection fees, and Bitcoin is that rebellious entity that 'doesn't pay taxes.'

Follow me to understand the deep logic behind market trends!

I am Xiao Chen, a crypto blogger focused on macro trends and on-chain capital flows. Follow me to not miss every trend opportunity.

The next bull market won't rely on luck, but on awareness that beats the market.#关税