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Erik Voorhees, founder of Shapeshift, has warned about the U.S. national debt’s catastrophic trajectory. He foresees a bond market collapse and ruination, calling it the most catastrophic event of our lifetimes. Voorhees advocates for bitcoin as a safeguard against this financial apocalypse, urging former President Donald Trump and his VP pick, Senator J.D. Vance, to create a permissive environment for crypto, ultimately helping to endure the impending financial collapse.
‘The Most Catastrophic and Consequential Event of Our Lifetimes’
Erik Voorhees, a notable figure in the cryptocurrency industry and founder of the crypto platform Shapeshift, expressed his concerns on social media platform X on Tuesday regarding the U.S. growing national debt. He stressed that under either Trump or Biden administration, the national debt is projected to increase by at least $1 trillion annually.
“This is, of course, the real threat,” he stressed. “It cannot be corrected. The math cannot be made to work under any set of plausible assumptions.” Predicting that “It ends in bond market collapse and ruination,” the Shapeshift founder stressed:
It will be the most catastrophic and consequential event of our lifetimes.
Despite the dire outlook, Voorhees suggested a possible path to a stronger society by moving away from the 20th-century concept of large nation-states. He pointed to bitcoin as a key element in this transition, asserting: “Bitcoin’s existence (or anything like it) is perhaps a prerequisite for the ‘good civilization on the other side,’ not because it solves all the world’s problems, but because it may, through economic game theory, prevent the monetary debasement (inflation) which enables large nation states to form. It may be the prison which finally constrains the creature.”
He explained that as bitcoin gains recognition as a more enduring asset compared to fiat currencies, a status achievable over two to three generations, it could serve as a stabilizing force. “Remember the fiat dollar is only 50 years old,” he noted.
Voorhees proceeded to offer some suggestions for former U.S. President and presidential candidate Donald Trump and his running mate, Senator J.D. Vance, in light of the economic challenges. The Shapeshift founder suggested that the best course of action for their administration would be to create an environment where cryptocurrency can flourish without persecution, stating:
The best thing Trump/Vance can do during their administration, since they cannot (and won’t) materially reduce the debt situation, is to create four years of permissive space in which crypto may thrive, unpersecuted.
“Then, its roots seep deeper into the soil of our culture, and at some point (perhaps already), they become firm enough to endure the subsequent financial apocalypse,” Voorhees concluded.
What do you think about Erik Voorhees’ views on the national debt and his suggestions to former U.S. President Donald Trump and his VP pick, Senator J.D. Vance, regarding bitcoin and crypto policies? Let us know in the comments section below.