HEATH MUCHENA: Bitcoin offers rules without rulers

The US economy is running on a promise — and that promise is starting to crack. For decades we've been told not to worry about government debt and that the dollar is safe. But behind the curtain, the maths is getting ugly and more people are waking up to the fact that the system isn’t just strained, it’s rigged to break. 

That’s why so many are turning to something radically different: bitcoin. Let’s get one thing straight: the US isn’t just in debt — it’s deep in a hole, and it keeps on digging. The government has accumulated enormous federal debt. This is not a theoretical concern. This is a broken engine with the warning lights flashing. Washington doesn’t earn enough to cover its bills, and hasn't for decades. Interest payments alone are now the fastest-growing component of the federal budget. 

Over $36-trillion in debt, trillions more in interest and no real plan to fix it. The government borrows to pay for yesterday’s promises, while taxpayers quietly shoulder the load. The debt is owed to specific entities: pension funds, foreign governments, Wall Street and the US Federal Reserve. It’s not shared equally, and the consequences won’t be either. 

If inflation quietly eats away at the dollar’s value, who wins? Not the saver; not the retiree; not the average person. Once upon a time central banks were supposed to guard the value of money. Now? They’re just trying to keep the system from falling apart. They can’t raise interest rates too high, because that would tank the economy. But keeping them low fuels inflation and asset bubbles. It’s a no-win scenario called fiscal dominance, and we’re already in it.

The Fed is losing money. The government is addicted to cheap borrowing. And the only way out seems to be printing more money. That’s not monetary policy — it’s a financial illusion. The Fed, technically insolvent on a mark-to-market basis, is bleeding more than $100bn in net interest losses. It can’t raise rates meaningfully without setting off a cascade of defaults, from leveraged banks to vulnerable sovereigns. 

So what's the plan? Quiet financial repression. Inflate away the debt. Keep rates below inflation. Let the public eat silent losses in real terms. That’s the 2020s playbook. The dollar won’t collapse tomorrow, but make no mistake, it’s losing ground. 

History is full of once-mighty currencies that eroded over time: the Roman denarius, the British pound, the Argentine peso. Not because of one big crisis, but because of slow, compounding decay. Debasement is the default setting when governments spend too much and need someone — anyone — to pay the bill. 

The dollar still dominates today, but it’s not bulletproof. And when faith fades, there’s no easy way back. Bitcoin offers something rare in today’s economy: rules without rulers. No central bank. No back room deals. No inflation surprises. Just a fixed supply, transparent protocol and global access. It’s not just another asset — it’s a hedge against the slow collapse of fiat trust. 

When the US printed 40% more dollars in 2020 alone, bitcoin didn’t panic — it surged. While bonds have suffered their worst losses in decades, bitcoin has steadily gained adoption and credibility. It’s not a trade, it’s insurance. 

Most people won’t talk about this at dinner parties or see it on the evening news. But the smartest investors are already hedging the system — before it becomes urgent. Bitcoin isn’t a rebellion. It’s a release valve. A vote for a future that isn’t held hostage by debt, denial and debasement. Because when the money itself breaks, everything else follows. 

• Muchena is founder of Proudly Associated and author of “Artificial Intelligence Applied” and “Tokenized Trillions”.