The US dollar may lose the status of world reserve currency to Bitcoin or other crypto assets. Blackrock CEO Larry Fink, in an annual investor letter, said that if the US does not control the debt problem, investors can see Bitcoin as a safe port rather than dollars.
Bitcoin message from Larry Fink
Larry Fink, CEO of Blackrock, stressed that in his letter, the decentralized finance (defi) markets are an extraordinary innovation that makes the markets faster, cheaper and transparent. However, the same innovation may threaten the economic superiority of the US if investors turn to Bitcoin. According to Trading Economics data, the US debt rate reached 122.3 %of GDP in 2023. This rate was 105 %in 2018. Although Moody’s Ratings continued to keep the US credit rating at the AAA level, it turned the country’s appearance to negative and pointed out that there may be a reduction in the future.
According to the data of the Joint Economic Committee affiliated to the US Congress, as of March 5, 2025, the country’s national debt reached 36.2 trillion dollars. In the last year, the debt increased by 1.8 trillion dollars; This corresponds to an increase of approximately $ 4.9 billion per day. Bipartisan Policy Center, a two -party thinking tank, pointed to July 2025 as the date when the US may fall into debt default.
Bitcoin is seen as a safe port for investors who want to avoid the risks of traditional currencies such as inflation. The termination of the debt ceiling crisis may initiate a wave of rise in the price of bitcoin, according to some analysts. On the other hand, as Fink points out, the increasing debt burden of the US may accelerate the adoption of Bitcoin.
Future of Sockination and Investment
In his letter, Fink said in his letter that “tokenization means democratization”. Thanks to this technology, assets can be purchased and sold immediately and transfers can be free of long -term bureaucratic processes. According to Fink, tokenizing all beings can revolutionize the investment world. Markets may not need to close, days -lasting transactions can be completed in seconds, and currently waiting billions of dollars can be brought back to the economy.
Stating that the size of the tokens market of real world assets is currently reaching $ 19.6 billion, Fink predicted that this market could reach 4 to 30 trillion dollars by 2030. Blackrock’s own tokenized asset fund BUIDL is the largest fund on the market, while Tether Gold and Franklin Templeton’s Benji funds are second and third.
The more and more adoption of Bitcoin and the tokecination technology can lead to radical changes in the global financial system. However, if the US does not solve the debt problem, the possibility of crypto assets such as Bitcoin will be reinforced.
