Kim Dotcom Suggests Investing in Bitcoin Before U.S. Debt Drains the Economy
The Controversial Internet pirate Kim Dotcom brought in some more controversy with his bitcoin advocacy Tweet. The bitcoin advocate points out that the U.S. government is adding $1 trillion to its debt every year and urges everyone to invest in bitcoin and gold to safeguard themselves. He added that the debt, which will never be paid, will eventually destroy the U.S. and lead to a global economic collapse. Check out his Tweet below:
1 TRILLION DOLLARS in additional US Govt debt PER YEAR!
US spending is funded by lenders who will never get paid. US Empire will collapse followed by a world wide economic collapse. https://t.co/kdtB0GnewP
Shift your USD into Gold & Bitcoin asap before USD becomes toilet paper. https://t.co/a5UIuhJvUT
— Kim Dotcom (@KimDotcom) August 9, 2018
Another Tweet by Dotcom, have him claiming that U.S. President Donald Trump began his term with an empire on life support, and that leading economists agree the U.S. debt is not sustainable.
Does Dotcom’s warning hold some value?
Dotcom may be known for his controversial statements, but his warning this time around aren’t unfounded. As reported by The Hill, a recent report from the Congressional Budget Office states that federal deficit has risen 20% in the last 10 months. The spending from Oct 1 to July has surpassed revenue by $682 billion, which is around $116 billion more than the previous year during the same period.
While Pres. Trump claims the tax cuts will lead to stronger economic growth, delivering more tax revenue and reducing the deficit; it is the major reason for the expanding deficit. Though there has been a 4.1% economic growth in the second quarter, economists have noted the need for more growth to cut the deficit.
The deficit is not expected to cut down any time soon. In fact, it is expected to hit $793 billion at the end of the year and approach $1 trillion in 2019. Soon, the interest payments to service the debt is predicted to become the fastest rising yearly expenditure. In the span of 30 years, it will rise above the expenditures on defense and Social Security.
The Responses to Dotcom’s Twitter post has covered a full spectrum, some in favor and some in opposition. Most weighed in their own solution to the problem such as to eliminate the country’s central bank or a military junta might emerge to protect people.
Meanwhile, Dotcom continues his battle with the government. He was indicted by a U.S. grand jury over his file-sharing site, Megaupload in 2012. The site was shut down by the FBI and a raid was ordered on Dotcom’s home. Dotcom was accused of copyright infringement, money laundering, and racketeering since then he has been fighting extradition to the U.S. from New Zealand.
The idea of expressing one’s views and reviews through words is beyond intriguing. What started as a creative let out has now become a passion and a profession for Arshmeet K Hora. In her own words ” with every word, every article that I write, my passion towards this medium has grown stronger.” Arshmeet covers latest crypto news and updates as well as what happening new revolving around Blockchain Technology.