Bitcoin Advocate Kim Dotcom Urges Investors to Get Involved with Bitcoin Due to the Growing US Debt
Kim Dotcom is known for his role as an internet pirate, but he is also fairly outspoken about his support for Bitcoin. In a recent tweet, Dotcom encouraged consumers to get involved before the United States ends up causing a global economic collapse.
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
The tweet reads, “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.” He concludes the tweet by advising consumers to act as quickly as possible “before USD becomes toilet paper.”
He also chimed in with another follow up tweet along the same lines:
Trust me. Buy crypto and gold. Your USD will become worthless. With US economic collapse all old money currencies will crash.
Times will get tough. But you’ll be fine if you hedge some of your assets in preparation for the crash.
The big crash is coming 100%.
— Kim Dotcom (@KimDotcom) August 12, 2018
He went on to add, “The average total debt per family in the US is now at 845000 USD. The average unfunded liability in the US is now at 938000 USD per taxpayer. Anyone who thinks US debt can be solved with economic growth, new debt or printing more dollars is an idiot. US Empire will default.”
Dotcom has a reputation for being controversial, but the current state of the United States may be a good enough reason to take note of the warnings. In the less than a year, the deficit has risen by 20%, based on the information provided by the Congressional Budget Office. From October last year to July last year, the government has exceeded the previous fiscal year’s spending by $116 billion.
Much of the increase seems to be based on President Trump’s decision to make tax cuts, though it can also be attributed the agreement by Congress to increase their spending as well. Trump has a dissimilar opinion, stating that the cuts will actually improve the economic growth, which means it should improve tax revenue and move the country away from such a high deficit. Economists in the United States say that more growth is required to reduce the deficit in the economy.
Based on current projections, the deficit should reach $793 billion by the end of 2018, though it will be approximately $1 trillion at the end of 2019. The government plans to increase interest payments, though it will only take a few decades to exceed the amount spent on defense and Social Security payments.
Twitter is abuzz with comments from other consumers, predicting how they think everything will play out. One Twitter user believes that a military junta has the potential to rise up and protect the people of the nation. While there were many users that immediately jumped behind Dotcom’s sentiment, there were others that believed that victory could be found in completely eliminating the central bank of the US. A user even suggested that the government could restructure the debt, while the North American Free Trade Agreement could restore a “manufacturing hole” for improved growth. We have covered it a few different times regarding how Bitcoin could benefit from a global trade war in which you can read about that here, here and here for more information.
Still, Dotcom has his own battles left to fight with the United States government, which have nothing to do with his advice and predictions. Instead, it has to do with his indictment due to establishing the file-sharing site called Megaupload. The FBI ultimately shut down his website, but not before ordering a raid on his private home. They also accused him on accounts of copyright infringement, racketeering, and money laundering.
As a result of these charges and accusations, Dotcom has been working against extradition, which would take him from New Zealand to the United States.
What do you think of Kim Dotcom's controversial tweets? They are certainly not unfounded as the global debt crisis amount continues to pile up and one would logically think this can not keep going this way without dire consequences sooner than later. Remember, Bitcoin's genesis block was founded with the very message of how big banks were bailed out back on January 3, 2009 and here it is middle of 2018 and nothing seems to have changed except the debt has been higher and Bitcoin is now trading at $6,333 with a market cap of $110 billion.