U.S. Treasury bonds surpassed the $38 trillion mark in early 2026. According to the latest reports, the new policies under Trump's administration are expected to add $3.4 trillion to the deficit over the next decade, with annual interest expenses approaching $1 trillion. These figures reflect an unprecedented level of fiscal pressure in the United States.

Interestingly, this seemingly negative news could actually be a long-term positive for cryptocurrencies. The continuous accumulation of debt directly leads to increased pressure on the dollar's depreciation and rising inflation expectations. Against this backdrop, Bitcoin, as an asset with a fixed supply unaffected by excessive issuance, will have its hedging and store-of-value properties become more prominent. The logic is similar to gold—when fiat currencies face pressure, people naturally seek alternatives.

Historically, whenever the U.S. faces fiscal difficulties, Bitcoin tends to perform well. Investors actively look for value storage outside the dollar, and Bitcoin, with its unique decentralized features, becomes the preferred choice.

What does an annual interest expense of nearly $1 trillion mean? The government has to allocate huge sums each year to pay interest, squeezing other expenditures. There are ultimately only three options: raise taxes, cut spending, or print more money. Any of these will erode the dollar's purchasing power.

However, the market may not react dramatically in the short term. Such macro factors often take time to ferment. In the long run, the U.S. fiscal dilemma will gradually become a key driving force behind the growth of the crypto market. From a hedging perspective, appropriately allocating to Bitcoin is actually a good choice at present. The key is to look beyond short-term volatility and think from a broader perspective—when the traditional financial system encounters structural problems, the value space for decentralized crypto assets will truly open up.