Bitcoin’s Popularity Surges as U.S. National Debt Climbs by $6 Billion a Day
Key Takeaways:
- U.S. $37.9 trillion national debt draws more concern about the weakening U.S. dollar.
- Bitcoin's new all-time high of over $125,000 presents a new path to investors.
- Critics believe the uncertain structure of the U.S. Bitcoin reserve limits its ability to meaningfully reduce national debt.
The U.S. national debt has ballooned to around $37.9 trillion, growing at about $69,890 every second, or nearly $6 billion every day, according to the U.S. Congress Joint Economic Committee’s debt dashboard. Consequently, investors are turning to Bitcoin to protect their portfolios from rising economic risks and inflation.
Bitcoin and Gold Price Surge Signals a Shift Away from the U.S. Dollar
According to data from Worldometer, the U.S. national debt growth of $6 billion per day is much larger than the gross domestic product (GDP) of over 30 countries. At current rates, the debt is expected to surpass $38 trillion in 20 days.
However, the outlook stretches far beyond short-term projections.
On October 3, U.S. Representative Keith Self drew attention to the issue in an X post, warning that the U.S. national debt could reach $50 trillion within the next decade.
He called on Congress to act decisively, urging lawmakers to demand greater fiscal responsibility before what he described as a gradual decline turns into a sudden collapse.
The U.S. national debt has elicited concerns for years, but this new wave of discussion comes at a time when Bitcoin and gold are reaching unprecedented highs.
On September 4, Bitcoin hit a new all-time high of $125,506, while gold followed a day later, climbing to $3,920.
For decades, gold has been the ultimate store of value. But Bitcoin, with its fixed supply, decentralization, and increasing adoption, is now emerging as a notable contender in the same arena.
This shift isn’t entirely new. Prominent investors have been voicing concerns about the sustainability of fiat currency for years.
Earlier last month, billionaire hedge fund founder Ray Dalio warned that the swelling U.S. national debt could position Bitcoin as a potential replacement for the U.S dollar.
His comment came after urging investors to allocate around 15% of their portfolios to Bitcoin and gold to hedge against today’s fragile economy.
Could Subsequent Bitcoin Rallies Reduce National Debt?
Last month, Jack Mallers, co-founder and CEO of Twenty One Capital, projected that the BTC price could surge 200-fold in the coming years as adoption accelerates.
Mallers explained that Bitcoin is competing directly with major asset classes, including real estate, equities, precious metals, and fine art — all of which together represent roughly $900 trillion in global wealth.
If his projections prove correct, the implications for the U.S. national debt could be significant.
Already, a new House appropriations bill has directed the U.S. Treasury Department to study the feasibility of creating a Strategic Bitcoin Reserve.
The bill requires a clear plan detailing how such reserves would be stored, secured, and potentially integrated into fiscal policy.
Still, the government’s approach appears cautious. Unlike private corporations that buy Bitcoin directly, the U.S. aims to acquire the asset through forfeitures or cost-neutral mechanisms only.
Some analysts argue that without active acquisition, the reserve’s growth would be too slow to impact the U.S. national debt.
Others believe that even limited holdings could yield major long-term benefits, especially if Bitcoin continues to rise.