How can Trump's debts affect the price of Bitcoin?

How can Trump's debts affect the price of Bitcoin?

Controversial internet pirate and Bitcoin enthusiast Kim Dotcom is urging everyone to invest in gold and Bitcoin as the US government increases its debt by $1 trillion every year and will not be able to pay it off. According to Dotcom, debt will destroy the United States and create a global economic collapse.

While Dotcom himself is a controversial figure, his argument isn't entirely without merit, given that the federal deficit has risen 20% over the past 10 months, according to a recent report from the Congressional Budget Office, as reported by The Hill. From Oct. 1 to July, spending exceeded revenue by $682 billion, up $116 billion from the same period in the previous fiscal year.

The growing deficit was fueled by Trump's decision to cut taxes and increase spending, who hoped the tax cuts would lead to stronger economic growth, higher tax revenues and a smaller deficit. Although the US economy grew 4.1% in the second quarter, experts say the figure would need to be much higher to reduce the deficit. The deficit is expected to reach US$793 billion at the end of the year and approach US$1 trillion in 2019. The biggest increase in annual expenses is Internet debt service payments. If this continues, in 30 years debt servicing costs will exceed defense and social security costs.

Many agree with Dotcom and say that the US dollar is already worthless. Some believe that the solution to this problem may be to eliminate the US central bank. Others think that the debt will be restructured and that the restoration of the "production hole" caused by the North American Free Trade Agreement will improve production and lead to stronger economic growth.

Dotcom, meanwhile, continues its battle with the US government, which in 2012 accused Dotcom of copyright infringement, money laundering and racketeering. In the case of the Megaupload file hosting service, the jury made a negative decision for Dotcom, as a result of which the site was closed, the defendant’s house was searched, and Dotcom himself is now hiding in New Zealand, trying in every possible way to avoid extradition to the United States.

According to https://www.ccn.com

You May Also Like

02018-06-14

The head of Ripple said that Bitcoin is controlled by China

In an interview at the Stifel Cross Insight Conference, the head of Ripple, Brad Garlinghouse, called the idea of ​​Bitcoin’s global dominance absurd and the desire to apply blockchain technology everywhere unjustified.

Bitcoin
02018-06-18

For a salary on a crypto exchange

Internet company Spot.IM is awaiting permission from conservative Israeli regulators to officially pay salaries in Bitcoin.

Bitcoin

Latest articles from Bitcoin category

Fresh video on our Channel