Equal Opportunities Research Foundation (FREOPP) chairman and Forbes editor-in-chief Avik Roy shared his opinion on bitcoin (BTC). He also explained what consequences for the entire U.S. financial system could lead to the adoption of the number one cryptocurrency.
US debt debate
Many countries suffer from inflation and their governments continue to print more money. In this context, it becomes evident that the demand for cryptocurrency is increasing. In the United States, moreover, the volume of foreign debt continues to increase.
Recently, Avik Roy explained how this situation can be changed with bitcoin (BTC).
As AMBCrypto reports , the head of FREOPP is sure that over time the debt, held by the US government, will increase. The costs associated with Covid-19 make the situation worse. In this regard, Roy said he sees huge potential in BTC. The adoption of cryptocurrency can seriously affect future investments and the entire financial system.
Avik Roy added that the presence of a national currency in circulation can no longer be seen as a country’s creditworthiness. But the situation can be changed with bitcoin. Roy is convinced that this cryptocurrency will be a great competition for treasury bills and that it can completely change the world economy.
Gold or BTC?
Roy also explained why the gold available in the treasury is not enough to protect the purchasing power of the country. According to him, just like the precious metal, bitcoin is durable, interchangeable, divisible and can be forged. But unlike gold , BTC is more scarce, protected, and portable. In addition, crypto technology is constantly evolving and expanding its functionality.
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Apparently, the publisher of Forbes is convinced that by accepting bitcoin as a legitimate payment method, the United States will receive new financial opportunities. He predicts that in the next two decades, BTC’s liquidity growth will have a huge impact on US treasury reserves and further reduce the country’s creditworthiness.
Currently, around 43% of the total number of global crypto hedge fund managers live in the United States. If these organizations continue to invest in bitcoin, America will not be able to maintain economic leadership.
Hopefully the government will listen to analysts and decide to change the financial system. We will follow what happens and await the comments of the financiers of the country.