Galaxy Digital CEO Mike Novogratz warns against what he believes to be reckless fiscal policy pursued by the United States. According to Novogratz, the situation is now so dire that the bankruptcy of the United States is a serious possibility.
Irresponsible spending
In a conversation with Bankless, the billionaire says America is spending more money under both Donald Trump and current President Joe Biden.
According to him, the only way to solve this problem is to cut costs. America won’t do that? Then the debts will continue to grow, and eventually no one will want to invest in America’s debts, and the bankruptcy of the United States will be possible.
Mike Novogratz thinks America taxes very little, or at least collects very little money in taxes. “Who is going to pay for that? Your grandchildren and your children,” said Novograds, who was very pessimistic.
“The only way to stop it is by cutting social security. What are they? Health and Social Security. However, that is not the story politicians want to tell the elderly,” Mike Novogratz’s summary of the issue said.
Bitcoin to the Moon?
With all of America’s debt woes, Mike Novogratz expects Bitcoin to go to the moon. Novogratz sees investors increasingly fleeing to assets like Bitcoin to hedge against the loss of the US dollar in the coming years.
“So the reason I’m optimistic about Bitcoin is not very happy. I want to see our government deal with the situation so that our grandchildren don’t go bankrupt. Because it’s going to happen.
We are bankrupting this country. Mark my words. We have no political will to do anything about it. Neither the Democrats nor the Republicans.
It’s not Novogratz’s happiest story, but it just might be true. If the debt grows faster than the economy, things can end very badly for America. Let us not forget that they are currently the most powerful and powerful nation on earth.
Despite stories like these you might believe, that’s not going to change anytime soon.
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