A survey suggests that should the United States ever default, the public sees bitcoin as more of a “safe haven” than the U.S. dollar.
Bitcoin Is a Bigger Safe Haven Than USD, Survey Says
Things aren’t as strong as one would assume considering bitcoin only placed third on the list. The first “safe haven” viewed by participants was gold, meaning that if the U.S. defaults, most of these people would want to allocate their portfolios and wealth to gold. After that came Treasurys, and bitcoin placed third, meaning it’s still got a way to go in terms of earning general trust.
However, the news is good in that it means many people now feel safer towards bitcoin than they do fiat currency, and the asset has come a long way in a relatively short period. Bitcoin, as we all remember, has only been around since 2009. That’s about 14 years at this stage, so the fact that people can now see it in a stronger light than they do USD is a good sign that the industry is doing something right.
The survey in question was the Markets Live Pulse survey conducted by Bloomberg. The results suggest that about eight percent (or slightly less) see bitcoin as a stronger “safe haven” when compared to USD. This isn’t much, but it’s a step forward.
There are likely many reasons for this, the first one being that banks throughout the U.S. and Europe are crashing and burning like nobody’s business. Right now, institutions such as First Republic, Signature, and Silicon Valley have all fallen into heaps of failure and are no longer in operation throughout America. Thus, the institutions that once came off as totally safe, sound, and secure are taking on the shape of unstable firms that can lose your coins or dollar bills the minute something troublesome happens.
The other reason could be that we have so many incapable people running the financial scene in the U.S. People like Janet Yellen, the Treasury Secretary, who in the past, has commented that she felt inflation was a problem that would resolve itself. Also, there’s Jerome Powell, who despite all the trouble that he’s caused, still only resorts to hiking interest rates as a means of combating inflation.
Treasurys Shouldn’t Be This High
The interest rate hikes have done nothing but cause people to be shut out of the American dream. They can no longer afford cars, homes, or other large (yet necessary) items due to their inability to pay high interest. In addition, these interest rate hikes caused crypto prices to crash and burn throughout 2022.
With all this in mind, however, it’s a little shocking (and scary) to think people still trust Treasurys more than they do bitcoin given they placed second on the survey.
