Renowned billionaire, trader and vocal pro-crypto advocate Mike Novogratz has issued a fervent call to action, urging investors to consider purchasing Bitcoin (BTC) following a shocking revelation concerning the escalating U.S. national debt. The statement came after Charlie Bilello, chief market strategist, disclosed that the national debt had surged by a staggering $1 trillion since the suspension of the debt ceiling just last month.
Novogratz, a prominent figure in the crypto community, expressed his dismay at the alarming increase in debt, labeling it as "insane." In response, he implored his followers to explore the potential of BTC as a safeguard against the depreciating value of the U.S. dollar, which has been largely attributed to the government's expansive monetary policies.
Drawing attention to the figures provided by Bilello, the U.S. public debt currently stands at an overwhelming $32.47 trillion as of the first week of July. This exorbitant amount exceeds the maximum borrowing limit of $31.4 trillion, which was rendered obsolete by a law signed in early June. The legislation effectively eliminated the debt ceiling temporarily, until Jan. 1, 2025, while simultaneously mandating a reduction of $1.5 trillion in the U.S. budget deficit over the next decade.
Novogratz's rationale behind his call to invest in Bitcoin seems to revolve around two key factors. While the billionaire sees cryptocurrency as the government's inflationary monetary practices, the substantial surge in national debt may be considered by Novogratz as a potential catalyst for an increase in money supply, which he believes could eventually propel BTC prices higher.