Gold and Bitcoin Taking Over as Global Reserve Assets, Says BitMEX Founder
BitMEX founder and crypto investor Arthur Hayes believes that gold and Bitcoin are gradually replacing US Treasuries and equities as the predominant global reserve assets. In a recent social media post on X, Hayes expressed his views on the changing dynamics of the global financial order.
Shift Away from US Treasuries
Hayes pointed out that President Trump’s administration’s focus on reducing debt and current account deficit could lead to a significant shift in global finance. He suggested that if the US reduces its deficit, other countries may need to sell off their US stocks and bonds to finance their own economies. This could result in a permanent change in the global financial landscape as finance ministers worldwide may not risk depending on US assets.
Emergence of Gold and Bitcoin
Hayes predicted that gold and Bitcoin will emerge as winners in this changing financial order. He highlighted the potential return of gold as a neutral reserve asset, especially for settling global trade. With Trump hinting at gold’s tariff-exempt status, Hayes believes that gold will play a crucial role in the new world monetary order.
For those looking to adapt to this shift, Hayes recommended investing in gold, gold miners, and Bitcoin as they could benefit from the changing global dynamics.
Breaking Correlation with Nasdaq
Hayes also suggested that the economic shockwaves induced by Trump’s policies might have finally broken the correlation between Bitcoin and the Nasdaq. This could potentially lead to a new phase for Bitcoin as a fiat liquidity smoke alarm.
Current Market Status
As of the latest update, Bitcoin is trading at $83,322, showcasing its resilience amid the evolving global financial landscape.
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