BlockBeats news, on November 18, Christian Catalini, co-founder and chief strategy officer of Lightspark and founder of the MIT Cryptoeconomics Laboratory (he was also the co-founder of the failed Diem/Libra project) shared his thoughts on the United States Views on Debt, Bitcoin Strategic Reserve Proposal, and Calls to Replace Fed Chair Powell.
Catalini believes that despite some false propaganda in the market, the United States is not actually on the verge of a debt crisis. From a broader perspective, the world has accumulated debt, especially in the aftermath of the 2008 global financial crisis. While this doesn’t mean being over-indebted is a good thing, it is a common problem that almost every country has to deal with in some way. But if Powell’s removal in January next year will undermine the SEC’s institutional credibility and weaken the dollar, it will raise doubts about the market’s ability to maintain debt. If Bitcoin does become a strategic reserve asset in the future, this may mark “the end of the Federal Reserve’s leadership in global monetary policy.”