The Financial War of Bitcoin: How Digital Gold Is Disrupting the Traditional Banking System?

Author: Wang Lijie

“Financialists”: The Empire of Debt Accumulation

First, let’s understand one faction—the “Financialists.” Who are they? They include the Federal Reserve, JPMorgan Chase, long-standing European banking families, and the complex derivatives markets supporting them. Since 1913, when they secretly established the synthetic monetary system in a small room, they have controlled the world for over a century.

Their core means of control is not directly owning assets but through the continuous circulation and accumulation of “claims.”

Collateral

Yield

Price signals

Credit systems

Eurodollars, swaps, futures, repos

These tools layer upon layer, tightly interconnected like monks, binding the entire financial track and currency flow firmly in their hands. They are the “hidden killers” in the financial world, building a vast financial empire on claims.

“Sovereigntists”: Seeking a Way Out

In stark contrast to the “Financialists” is another emerging force—the “Sovereigntists.” They include:

Countries attempting to break free from dollar hegemony

Businesses tired of inefficient banking systems and layered exploitation

And ordinary individuals like you and me, choosing to keep their wealth firmly in their own hands, pursuing “permissionless” assets

Although their motivations differ, their core goal is the same: to find a way out of the old, bloodsucking financial system. Bitcoin has thus become the first “lifeboat” they see.

Bitcoin’s “Trigger” and MicroStrategy’s Qualitative Change

Initially, it was not Bitcoin itself that ignited this war. Bitcoin was more like a fuse, shaking people’s perceptions and demonstrating an alternative possibility for finance. However, it was MicroStrategy that truly shook the foundations of the old world power structure. This company proved through concrete action that Bitcoin can serve as collateral and deeply integrate into the capital markets, a qualitative shift in its position within the financial system.

This is not just price fluctuation but the true prelude to financial warfare. It reveals that Bitcoin is no longer a marginalized digital currency but a key collateral with the potential to impact traditional finance.

To better understand this transformation, we must mention a seemingly hardcore product—STRC. STRC is not an ordinary bond, nor a typical new financial product; it is not even something MicroStrategy created out of thin air.

STRC: A Disruptive Bitcoin Financial Engine

STRC is the world’s first Bitcoin-backed financial engine compliant with regulatory standards. What does this mean? It means ordinary savers can now openly purchase a Bitcoin-backed product that generates returns within their brokerage accounts. No need to open bank accounts, nor to get involved in complex shadow banking systems. Even more remarkable, current STRC yields can reach as high as 10.75%, compared to traditional bank savings interest rates typically between 0.1% and 1%, forming a stark contrast.

But the most striking aspect of STRC is not just its high yield but the underlying monetary feedback loop mechanism—this is the fundamental reason why “Financialists” are uneasy.

When investors buy STRC: funds flow into MicroStrategy.

MicroStrategy uses this capital to purchase real Bitcoin: Bitcoin supply tightens in the market.

Bitcoin prices rise: due to reduced supply and increased demand.

The value of Bitcoin as collateral increases: MicroStrategy’s borrowing costs decrease.

Lower costs attract more investors to buy STRC: creating a virtuous cycle, prompting the company to buy more Bitcoin.

This is a perfect self-reinforcing flywheel, a perpetual motion machine with increasing scarcity! This is the core that truly terrifies traditional financial giants.

Traditional banking systems cannot operate this mechanism. They cannot accept Bitcoin as collateral, cannot settle with Bitcoin, and cannot “print” Bitcoin out of thin air, nor freeze it easily. In the past, their control was rooted in the ability to infinitely create “claims”; now, Bitcoin is a tangible asset, a hard currency.

This is the first time in human history that ordinary individuals, within a regulatory framework, can bypass the banking system and directly participate in the capital cycle. When Pandora’s box is opened, the first wave of impact quietly arrives.

JPMorgan’s Counterattack and “Synthetic Response”

In July 2025, JPMorgan’s “Goldman Sachs” division suddenly announced a significant increase in margin requirements for MicroStrategy—from 50% to 95%. This means that if you want to buy $100,000 worth of MSTR stock, you now need to put up $95,000 in cash, almost blocking leverage trading.

This is not a routine market adjustment. Notably, JPMorgan has not taken similar action against high-volatility stocks like Tesla, Nvidia, or Coinbase. MSTR becomes the sole target. Behind this, it’s evidently not just simple market competition but a premeditated, coordinated suppression.

Subsequently, a “synthetic counterattack” also emerged. On November 25, 2025, JPMorgan filed documents with the US SEC to launch a leveraged Bitcoin structured note linked to the BlackRock IBIT ETF. This is a textbook demonstration of Wall Street’s “old tricks.”

Wall Street does not control assets; they control “claims” on assets. They do not own gold but control synthetic gold; no silver but synthetic silver; synthetic government bonds, synthetic credit. So now, they naturally want to create “synthetic Bitcoin” on the Bitcoin soil.

History Repeats: The Uncopyable “Physics of Money”

Reviewing history, whether it’s the early 20th-century US transition from agricultural finance to industrial finance, or the patterns of power centralization and narrative control over the past century, there are startling similarities. Whenever the old system is threatened, responses always involve centralizing power, controlling narratives, and suppressing anything that doesn’t conform to new standards.

However, this time the script can no longer be repeated because the real war has already gone beyond Bitcoin and the dollar, even beyond Bitcoin and Wall Street. It concerns the “orbit”—the systems that bring value into Bitcoin and create credit from Bitcoin. Whoever controls these orbits controls the future monetary system.

MicroStrategy, through its STRC product, reveals a secret Wall Street is reluctant to let the world know: Bitcoin can serve as a flawless collateral, functioning within the capital markets!

Once this fact surfaces, the models of “Financialists” begin to crumble. For over a century, their power has been rooted in the ability to multiply collateral: gold can establish a 100:1 paper debt system; the dollar can be infinitely multiplied through fractional reserve systems; government bonds are repeatedly collateralized within banks. But Bitcoin breaks all these advantages. You can create synthetic Bitcoin exposures, but you cannot create synthetic Bitcoin collateral!

Wall Street’s Demand: Submission and Competition

Wall Street’s own actions are the best proof. BlackRock launched the fastest-growing ETF in history, not backed by bonds, stocks, or gold, but by Bitcoin! Fidelity, Franklin Templeton followed suit. Even JPMorgan, which previously increased MicroStrategy’s margin requirements and targeted Bitcoin-related companies, is now rushing to launch Bitcoin-linked structured notes. This prompts reflection: “Why?”

The answer is simple: they know very well what Bitcoin is becoming—a new collateral layer that will absorb more liquidity than any other asset in the financial system.

This is not out of fear but a deep market demand from the world’s largest financial institutions. They don’t want us to understand that in every Wall Street product they launch—be it ETFs, structured notes, or synthetic tools—they are controlling the orbits, collecting fees, managing convexity, and extracting upward profits. You may have partial exposure, but they hold the majority of the economic benefits.

Your Choice: Owning Real Assets

But you don’t need to buy these synthetic versions. You don’t need banks to act as intermediaries, nor do you need structured notes, third-party custodians, or derivatives trading desks. You can own Bitcoin directly—this real asset, this scarce collateral—and this is exactly what Wall Street is desperately packaging, repackaging, and trying to strip from you! This is true return.

The “Financialists” do not oppose Bitcoin because it is a threat; they fight to take a share because they realize Bitcoin is the foundation of the next system. They seek to control the orbit because they know where liquidity will flow. But you don’t need their orbit. Bitcoin has already provided its own orbit for you.

Those who understand this early and prepare before the transition becomes obvious will be the true winners of this era. The choice is now in your hands.