Bitcoin is surging into the spotlight as Coinbase’s CEO and Elon Musk sound alarms on U.S. debt, signaling the crypto’s rise as a serious reserve currency contender.
Elon Musk Supports Coinbase Outlook: Bitcoin May Topple US Dollar as Reserve Currency
Coinbase CEO Brian Armstrong voiced concern on June 3 on social media platform X over the ballooning U.S. national debt, which recently surpassed $36.9 trillion. His remarks came in response to a widely circulated post by World of Statistics, which outlined the dramatic year-over-year increase in federal debt levels stretching back to 1966. The chart highlighted the relentless pace of government borrowing over several decades and revealed a steep climb from $23.2 trillion in 2019 to $36.9 trillion projected for 2025. This data has ignited renewed public debate over Washington’s fiscal strategy and its potential consequences for the global financial system.
Armstrong specifically addressed the lack of congressional accountability in tackling deficits and cautioned that failure to correct course could upend the U.S. dollar’s role in the global economy. He stated:
If the electorate doesn’t hold Congress accountable to reducing the deficit, and start paying down the debt, bitcoin is going to take over as reserve currency.
The Coinbase executive added: “I love bitcoin, but a strong America is also super important for the world. We need to get our finances under control.” Armstrong’s statement highlights growing concern within the financial and tech sectors over the sustainability of U.S. debt and fiscal policy. His remarks suggest that continued fiscal mismanagement could erode trust in U.S. financial systems, reinforcing the argument that bitcoin may function as a hedge against declining confidence in traditional institutions.
Elon Musk, CEO of Tesla and Spacex, reposted Armstrong’s warning on X that continued government overspending could lead to bitcoin overtaking the U.S. dollar, and replied to it with an image of the American flag, indicating support.
The billionaire also separately responded to the global debt statistics by saying, “Congress is making America bankrupt.” He criticized the spending bill dubbed “One Big Beautiful Bill” as wasteful and warned it would raise the federal deficit to $2.5 trillion, placing unsustainable debt on citizens.
While Musk has made limited public statements about bitcoin, his companies and personal holdings show substantial involvement in cryptocurrency. Onchain data from Arkham Intelligence indicates Tesla holds 11,509 BTC, while Spacex owns 8,285 BTC. Musk has also disclosed that he personally owns bitcoin ( BTC), ether ( ETH), and dogecoin ( DOGE), with bitcoin making up the majority. These investments highlight his continued presence in the crypto market through both corporate and personal assets.
