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Is the Open AI fairytale crumbling and coming to light?
Bluechip
--
THE TWELVE BILLION DOLLAR TRAP
Microsoft just reported something Wall Street is not talking about.
In its October 29th 10-Q filing, buried in equity method accounting, Microsoft disclosed that OpenAI lost approximately twelve billion dollars in the third quarter of 2025 alone. Not for the year. For three months.
Microsoft owns 27 percent of OpenAI after the October 28th restructuring that valued the company at 500 billion dollars. Under equity accounting rules, Microsoft must recognize its share of those losses on its own income statement. That means roughly 3.2 billion dollars in losses flowed directly onto Microsoft’s books in a single quarter from this investment.
OpenAI generated 4.3 billion in revenue during the first half of 2025. Even if the company reaches its projected twenty billion for the full year, it will still lose more money in twelve months than it earns. Internal projections show cumulative losses reaching 115 billion dollars by 2029.
Here is the structural problem nobody is discussing.
Microsoft cannot acquire OpenAI. Regulators in both the EU and United States have made clear that the existing 27 percent stake already sits at the threshold of antitrust concern. Any move toward full ownership triggers immediate intervention.
Microsoft cannot sell its stake without destroying the Azure relationship that generates the 250 billion dollar infrastructure commitment. Ninety percent of OpenAI’s compute runs on Microsoft’s cloud. Walking away means losing the largest enterprise AI customer while crystallizing a 135 billion dollar equity loss.
Microsoft cannot stop funding the losses without watching OpenAI collapse and taking both the equity write-down and the revenue hit simultaneously.
This is not a partnership. This is financial lock-in.
Google operates profitably while trading at 7.8 times revenue with 98.5 billion in cash and four billion users. OpenAI trades at 25 times projected revenue while burning twelve billion per quarter with no path to breakeven visible in any public projection.
The November 21st Altman memo warned growth could slow to 5 percent. If revenue growth stalls while quarterly losses remain in the tens of billions, the entire thesis collapses. Microsoft will be funding infinite losses through equity dilution with no exit possible and no acquisition permitted.
When Microsoft reports earnings in January 2026, look for one line: equity method investment losses. That number will tell you exactly how much Microsoft paid last quarter to own 27 percent of a company that cannot be bought, cannot be sold, and cannot yet earn a profit.
The trap is already sprung.
$BTC
In its October 29th 10-Q filing, buried in equity method accounting, Microsoft disclosed that OpenAI lost approximately twelve billion dollars in the third quarter of 2025 alone. Not for the year. For three months.
Microsoft owns 27 percent of OpenAI after the October 28th restructuring that valued the company at 500 billion dollars. Under equity accounting rules, Microsoft must recognize its share of those losses on its own income statement. That means roughly 3.2 billion dollars in losses flowed directly onto Microsoft’s books in a single quarter from this investment.
OpenAI generated 4.3 billion in revenue during the first half of 2025. Even if the company reaches its projected twenty billion for the full year, it will still lose more money in twelve months than it earns. Internal projections show cumulative losses reaching 115 billion dollars by 2029.
Here is the structural problem nobody is discussing.
Microsoft cannot acquire OpenAI. Regulators in both the EU and United States have made clear that the existing 27 percent stake already sits at the threshold of antitrust concern. Any move toward full ownership triggers immediate intervention.
Microsoft cannot sell its stake without destroying the Azure relationship that generates the 250 billion dollar infrastructure commitment. Ninety percent of OpenAI’s compute runs on Microsoft’s cloud. Walking away means losing the largest enterprise AI customer while crystallizing a 135 billion dollar equity loss.
Microsoft cannot stop funding the losses without watching OpenAI collapse and taking both the equity write-down and the revenue hit simultaneously.
This is not a partnership. This is financial lock-in.
Google operates profitably while trading at 7.8 times revenue with 98.5 billion in cash and four billion users. OpenAI trades at 25 times projected revenue while burning twelve billion per quarter with no path to breakeven visible in any public projection.
The November 21st Altman memo warned growth could slow to 5 percent. If revenue growth stalls while quarterly losses remain in the tens of billions, the entire thesis collapses. Microsoft will be funding infinite losses through equity dilution with no exit possible and no acquisition permitted.
When Microsoft reports earnings in January 2026, look for one line: equity method investment losses. That number will tell you exactly how much Microsoft paid last quarter to own 27 percent of a company that cannot be bought, cannot be sold, and cannot yet earn a profit.
The trap is already sprung.
$BTC
New central bank order?
Bluechip
--
LAGARDE’S LIE JUST SHATTERED: The €2.5 Trillion Rebellion That Changes Everything
Ten months ago, Christine Lagarde stood before the world: “Bitcoin will NOT enter EU central bank reserves.”
Yesterday, the Czech National Bank bought Bitcoin.
Not as speculation. As reserves.
This isn’t news. This is the detonation.
For 80 years, central banks moved as one herd. Bretton Woods. The euro. Coordinated policy. Unified reserve doctrine. The illusion of monetary omnipotence maintained through absolute alignment.
That era died November 13th, 2025.
THE MATHEMATICS OF COLLAPSE:
27 EU member states. 25 still obedient. 2 now defiant. 20% of EU GDP outside eurozone control.
€2.5 trillion in reserves. 60% held in dollars. Zero held in the only asset with a fixed supply of 21 million units.
Until now.
WHY THIS DETONATES:
When one prisoner defects, game theory becomes destiny. Czech Republic broke ranks. Luxembourg’s sovereign fund preceded them with €7.45 million. Poland circles. France studies. Sweden calculates.
The math is savage: Stay loyal to Frankfurt, watch your reserves devalue in infinite money printing. Or defect early, hedge inflation, gain sovereignty.
Every central banker on Earth is reading this calculus tonight.
THE EXTINCTION EVENT:
If three more EU states announce Bitcoin reserves in 2026, the dollar reserve system enters terminal phase. If five announce, euro global dominance collapses 20% by 2030. If ten announce, we’re watching the controlled demolition of post-war monetary architecture in real time.
Lagarde promised unity. She delivered fracture.
The Czech koruna just rewrote the rules for $12 trillion in global reserves.
This wasn’t a transaction. It was a declaration of independence.
The paradigm didn’t shift. It shattered.
Watch what happens in the next 180 days.
$BTC
Ten months ago, Christine Lagarde stood before the world: “Bitcoin will NOT enter EU central bank reserves.”
Yesterday, the Czech National Bank bought Bitcoin.
Not as speculation. As reserves.
This isn’t news. This is the detonation.
For 80 years, central banks moved as one herd. Bretton Woods. The euro. Coordinated policy. Unified reserve doctrine. The illusion of monetary omnipotence maintained through absolute alignment.
That era died November 13th, 2025.
THE MATHEMATICS OF COLLAPSE:
27 EU member states. 25 still obedient. 2 now defiant. 20% of EU GDP outside eurozone control.
€2.5 trillion in reserves. 60% held in dollars. Zero held in the only asset with a fixed supply of 21 million units.
Until now.
WHY THIS DETONATES:
When one prisoner defects, game theory becomes destiny. Czech Republic broke ranks. Luxembourg’s sovereign fund preceded them with €7.45 million. Poland circles. France studies. Sweden calculates.
The math is savage: Stay loyal to Frankfurt, watch your reserves devalue in infinite money printing. Or defect early, hedge inflation, gain sovereignty.
Every central banker on Earth is reading this calculus tonight.
THE EXTINCTION EVENT:
If three more EU states announce Bitcoin reserves in 2026, the dollar reserve system enters terminal phase. If five announce, euro global dominance collapses 20% by 2030. If ten announce, we’re watching the controlled demolition of post-war monetary architecture in real time.
Lagarde promised unity. She delivered fracture.
The Czech koruna just rewrote the rules for $12 trillion in global reserves.
This wasn’t a transaction. It was a declaration of independence.
The paradigm didn’t shift. It shattered.
Watch what happens in the next 180 days.
$BTC
There's nothing dark about frauding or scamming other people, whether in crypto or others. it's karma wheel turning. Scammers get what they deserve, only question is: when?
🚨 Crypto Scammer Meets a Deadly End in UAE 🇦🇪
A shocking turn of events has emerged in the crypto world a Russian couple allegedly involved in a major crypto fraud case has been found dead under mysterious circumstances in the UAE.
Authorities have launched a full investigation as speculation grows around the incident and possible links to stolen digital assets. The case highlights the dark side of crypto crime, where greed, betrayal, and money can lead to deadly consequences.
#CryptoNews #Blockchain #fraud #P2P #UAE
A shocking turn of events has emerged in the crypto world a Russian couple allegedly involved in a major crypto fraud case has been found dead under mysterious circumstances in the UAE.
Authorities have launched a full investigation as speculation grows around the incident and possible links to stolen digital assets. The case highlights the dark side of crypto crime, where greed, betrayal, and money can lead to deadly consequences.
#CryptoNews #Blockchain #fraud #P2P #UAE
Everyone's a guru at hind sight.
🚨 Same Market, Different Outcomes 💰
Let this sink in...
✅ After 8 years — $BNB hits $1,000
✅ After 8 years — $ADA still at $0.90
✅ After 12 years — $XRP barely touches3
Now imagine this...
Someone who invested just $100 in BNB 8 years ago is now sitting on over $1,000,000. 😳
Same market. Same opportunities.
But it’s the choices that made all the difference.
🔑 Lesson? It’s not about chasing every coin it’s about spotting value early, having conviction, and letting time do the magic.
📉 Don’t just trade hype.
📈 Invest with vision.
#CryptoWisdom #BNB #ADA #XRP #WealthMindset
{future}(ADAUSDT)
{future}(XRPUSDT)
Let this sink in...
✅ After 8 years — $BNB hits $1,000
✅ After 8 years — $ADA still at $0.90
✅ After 12 years — $XRP barely touches3
Now imagine this...
Someone who invested just $100 in BNB 8 years ago is now sitting on over $1,000,000. 😳
Same market. Same opportunities.
But it’s the choices that made all the difference.
🔑 Lesson? It’s not about chasing every coin it’s about spotting value early, having conviction, and letting time do the magic.
📉 Don’t just trade hype.
📈 Invest with vision.
#CryptoWisdom #BNB #ADA #XRP #WealthMindset
{future}(ADAUSDT)
{future}(XRPUSDT)
What makes you think ADA can grow 20X in 6 to 12 months when it failed in almost all the projects it planned? Sopana & XRP exploded during this time, if you realized.
💰$ADA
{future}(ADAUSDT)
# How Many ADA Coins Can Make You a Millionaire?
Let’s do the easy math 👇
✅ Current ADA Price: $0.55
✅ Target Price (6–12 months): $10
🎯 Goal: $1,000,000
📌 If ADA hits $10, you need:
1,000,000 ÷ 10 = 100,000 ADA
💵 Investment Needed Today:
100,000 × 0.55 = $55,000
⚡ Meaning:
If ADA reaches $10, then today’s $55,000 investment becomes $1,000,000 — potentially within a year!
{future}(ADAUSDT)
# How Many ADA Coins Can Make You a Millionaire?
Let’s do the easy math 👇
✅ Current ADA Price: $0.55
✅ Target Price (6–12 months): $10
🎯 Goal: $1,000,000
📌 If ADA hits $10, you need:
1,000,000 ÷ 10 = 100,000 ADA
💵 Investment Needed Today:
100,000 × 0.55 = $55,000
⚡ Meaning:
If ADA reaches $10, then today’s $55,000 investment becomes $1,000,000 — potentially within a year!
"Massive" is the word today, after Trump announced that he's gonna impose new round of tariff hikes against archrival China Xi. Among the massive movements:
- Dow dropped 880 points or 2%
- S&P 500 lost 180 points or 2.7%
- NASDAQ down 820 points or 3.5%
- $607mil in leveraged positions wiped out
- BTC below $114k
- ETH below $4k
Whereas rare earth prices pushed up the counters from 3 to 8% respectively .
What triggered Trump to suddenly announce this was mind boggling, when he was scheduled to meet Xi in 2 weeks' time in South Korea for the APEC.
Is this another case of "helping" his donors to make a quick buck again on either side of the long and short aisles? Or he's forcing China for more concessions? Either way, chaos continued.
#massive
- Dow dropped 880 points or 2%
- S&P 500 lost 180 points or 2.7%
- NASDAQ down 820 points or 3.5%
- $607mil in leveraged positions wiped out
- BTC below $114k
- ETH below $4k
Whereas rare earth prices pushed up the counters from 3 to 8% respectively .
What triggered Trump to suddenly announce this was mind boggling, when he was scheduled to meet Xi in 2 weeks' time in South Korea for the APEC.
Is this another case of "helping" his donors to make a quick buck again on either side of the long and short aisles? Or he's forcing China for more concessions? Either way, chaos continued.
#massive
Am I sensing a collapse of humanity in a distant future? Consider this: low birth rate; not just high but perpetual increasing cost of living; more and more wars; AI taking over more and more jobs; corrupted governments; increasing internal tax revenue instead of expanding economic pie. Constructive criticism is welcomed!
Bluechip
--
The BIGGEST crisis is coming in 2030I
it won't be real estate or bank, it’ll be pensions
Governments can’t fund it, so you will work till 75
Here's full breakdown and how to retire at 30
1/ ➮
✯ We’re heading into the biggest crisis of our lifetime
✯ And it won’t be about inflation, wars, or housing
✯ It will be the collapse of the global pension system
✯ The world is getting older - and younger generations can’t carry the weight
2/ ➮
✯ Germany just proposed raising retirement age to 73
✯ By 2030, over a third of the population will be 67+
✯ Fewer than 3 workers now support every retiree
✯ And the math will only get worse from here
3/ ➮
✯ The cause is simple - people have fewer children, later in life
✯ Life expectancy is rising, productivity is stagnant
✯ And the number of working-age people is shrinking fast
✯ Every model built in the 20th century is now breaking
4/ ➮
✯ Denmark already approved retirement age of 70
✯ Germany will raise it to 69 by 2030, 73 by 2041
✯ This is not just policy - it’s survival math
✯ And this will soon become a global standard, not an exception
5/ ➮
✯ Governments only have two options:
✯ Raise retirement age or increase taxes massively
✯ Both destroy quality of life for future generations
✯ But there is a third path and nobody is talking about it
6/ ➮
✯ The only real solution: restructure pension funds
✯ Today they invest in low-risk, low-return assets
✯ But those returns won’t support 25+ years of retirement
✯ The funds must take on more risk to generate more yield
7/ ➮
✯ Allocate small % of pensions into high-growth sectors
✯ That means biotech, energy, AI - and yes, crypto
✯ Crypto’s asymmetric upside solves the yield problem
✯ But no government wants to admit it yet
8/ ➮
✯ If 5% of global pension capital moved into BTC
✯ It would create trillions in demand in the next decade
✯ And massively reduce the burden on younger taxpayers
✯ This is the real long-term crypto narrative nobody sees
9/ ➮
✯ Without structural reform, young people will be taxed to death
✯ You’ll work longer, retire poorer, and carry everyone else
✯ But if pension funds evolve, the system can survive
✯ And crypto will become essential to that transition
10/ ➮
✯ The collapse is not 30 years away - it’s already started
✯ Raising retirement age is just a warning shot
✯ You can either watch the system collapse slowly
✯ Or build new ones - fueled by innovation, not taxation
11/ ➮
✯ In today’s world, you can’t rely on the state to save you
✯ Governments are broke, systems are outdated, and reforms are too slow
✯ Your future is your responsibility, build your own safety net
✯ Here’s how to build porfoilio
Always DYOR and size accordingly. NFA!
📌 Follow @Bluechip for unfiltered crypto intelligence, feel free to bookmark & share.
Governments can’t fund it, so you will work till 75
Here's full breakdown and how to retire at 30
1/ ➮
✯ We’re heading into the biggest crisis of our lifetime
✯ And it won’t be about inflation, wars, or housing
✯ It will be the collapse of the global pension system
✯ The world is getting older - and younger generations can’t carry the weight
2/ ➮
✯ Germany just proposed raising retirement age to 73
✯ By 2030, over a third of the population will be 67+
✯ Fewer than 3 workers now support every retiree
✯ And the math will only get worse from here
3/ ➮
✯ The cause is simple - people have fewer children, later in life
✯ Life expectancy is rising, productivity is stagnant
✯ And the number of working-age people is shrinking fast
✯ Every model built in the 20th century is now breaking
4/ ➮
✯ Denmark already approved retirement age of 70
✯ Germany will raise it to 69 by 2030, 73 by 2041
✯ This is not just policy - it’s survival math
✯ And this will soon become a global standard, not an exception
5/ ➮
✯ Governments only have two options:
✯ Raise retirement age or increase taxes massively
✯ Both destroy quality of life for future generations
✯ But there is a third path and nobody is talking about it
6/ ➮
✯ The only real solution: restructure pension funds
✯ Today they invest in low-risk, low-return assets
✯ But those returns won’t support 25+ years of retirement
✯ The funds must take on more risk to generate more yield
7/ ➮
✯ Allocate small % of pensions into high-growth sectors
✯ That means biotech, energy, AI - and yes, crypto
✯ Crypto’s asymmetric upside solves the yield problem
✯ But no government wants to admit it yet
8/ ➮
✯ If 5% of global pension capital moved into BTC
✯ It would create trillions in demand in the next decade
✯ And massively reduce the burden on younger taxpayers
✯ This is the real long-term crypto narrative nobody sees
9/ ➮
✯ Without structural reform, young people will be taxed to death
✯ You’ll work longer, retire poorer, and carry everyone else
✯ But if pension funds evolve, the system can survive
✯ And crypto will become essential to that transition
10/ ➮
✯ The collapse is not 30 years away - it’s already started
✯ Raising retirement age is just a warning shot
✯ You can either watch the system collapse slowly
✯ Or build new ones - fueled by innovation, not taxation
11/ ➮
✯ In today’s world, you can’t rely on the state to save you
✯ Governments are broke, systems are outdated, and reforms are too slow
✯ Your future is your responsibility, build your own safety net
✯ Here’s how to build porfoilio
Always DYOR and size accordingly. NFA!
📌 Follow @Bluechip for unfiltered crypto intelligence, feel free to bookmark & share.
Crypto market bleeding now, after a series of accusations made by Trump as follows:
1. China is "becoming very hostile" and controlling rare earths
2. "Always felt that China is lying, and now, as usual, I have been proven right"
3. China is "holding the world captive" in a "monopoly position"
4. There is "no reason" to meet President Xi in 2 weeks
5. Preparing a "massive increase of tariffs on Chinese products"
6. "Many other countermeasures" are under serious consideration
Will Trump really impose new sanctions, or TACO? What do you think? Are you shorting the market, or accumulating?
#BTC #TRUMP
1. China is "becoming very hostile" and controlling rare earths
2. "Always felt that China is lying, and now, as usual, I have been proven right"
3. China is "holding the world captive" in a "monopoly position"
4. There is "no reason" to meet President Xi in 2 weeks
5. Preparing a "massive increase of tariffs on Chinese products"
6. "Many other countermeasures" are under serious consideration
Will Trump really impose new sanctions, or TACO? What do you think? Are you shorting the market, or accumulating?
#BTC #TRUMP
Quick bites:
1. Fed Vice Chair for Supervision Michelle Bowman says the Fed is behind the curve in cutting rates, indicating the Fed might be cutting rates faster, due to deteriorating labor conditions.
2. $BTC $116k resistance , $108k to $106k support - Michael van de Poppe
3. NASDAQ daily RSI reached 78, highest since July 2024. A 17% fall happened after 2 to 3 weeks, which could affect $BTC ($94k) and alts - Ted Pillows
source: Cointelegraph
#BTC走势分析 #BTC☀
1. Fed Vice Chair for Supervision Michelle Bowman says the Fed is behind the curve in cutting rates, indicating the Fed might be cutting rates faster, due to deteriorating labor conditions.
2. $BTC $116k resistance , $108k to $106k support - Michael van de Poppe
3. NASDAQ daily RSI reached 78, highest since July 2024. A 17% fall happened after 2 to 3 weeks, which could affect $BTC ($94k) and alts - Ted Pillows
source: Cointelegraph
#BTC走势分析 #BTC☀
looks like a bait to get follows than anything of substance.
$ENA Coin Price Prediction 2025 - 2028 🔥💣🚀
If you short-sell $ 1,000.00 worth of Ethena today and repurchase it on Dec 31, 2025, you could make a potential profit of $ 265.21, reflecting a 26.52% ROI over the next 102 days (fees are not included in this estimate).
Ethena Price Prediction 2025
In 2025, Ethena (ENA) is anticipated to change hands in a trading channel between $ 0.468664 and $ 0.669299, leading to an average annualized price of $ 0.519837. This could result in a potential return on investment of -0.26% compared to the current rates. Given the expected dip, investors could profit from negative activity by shorting ENA.
Ethena Price Prediction 2026
In 2026, Ethena is forecasted to trade in a price channel between $ 0.461076 and $ 1.827648. On average, ENA is expected to change hands at $ 0.937986 during the year. The most bullish month for ENA could be July, when the currency is anticipated to trade 172.45% higher than today.
Ethena Price Prediction 2027
Generally speaking, Ethena price prediction for 2027 is bullish. The ENA cryptocurrency is forecasted to hit a high point of $ 1.227127 in February and reach a low of $ 0.632413 in November. Overall, ENA is expected to trade at an average price of $ 0.93854 in 2027.
Ethena Price Prediction 2028
The outlook for Ethena in 2028 indicates a possible uptrend, with an expected price of $ 0.713736. This represents a 6.45% increase from the current price. The asset's price is projected to oscillate between $ 0.6532 in August and $ 0.944911 in November. Investors could see a potential ROI of 40.93%, suggesting a favorable investment environment.
Please🙏 Follow Me ❤
#BNBBreaks1000
If you short-sell $ 1,000.00 worth of Ethena today and repurchase it on Dec 31, 2025, you could make a potential profit of $ 265.21, reflecting a 26.52% ROI over the next 102 days (fees are not included in this estimate).
Ethena Price Prediction 2025
In 2025, Ethena (ENA) is anticipated to change hands in a trading channel between $ 0.468664 and $ 0.669299, leading to an average annualized price of $ 0.519837. This could result in a potential return on investment of -0.26% compared to the current rates. Given the expected dip, investors could profit from negative activity by shorting ENA.
Ethena Price Prediction 2026
In 2026, Ethena is forecasted to trade in a price channel between $ 0.461076 and $ 1.827648. On average, ENA is expected to change hands at $ 0.937986 during the year. The most bullish month for ENA could be July, when the currency is anticipated to trade 172.45% higher than today.
Ethena Price Prediction 2027
Generally speaking, Ethena price prediction for 2027 is bullish. The ENA cryptocurrency is forecasted to hit a high point of $ 1.227127 in February and reach a low of $ 0.632413 in November. Overall, ENA is expected to trade at an average price of $ 0.93854 in 2027.
Ethena Price Prediction 2028
The outlook for Ethena in 2028 indicates a possible uptrend, with an expected price of $ 0.713736. This represents a 6.45% increase from the current price. The asset's price is projected to oscillate between $ 0.6532 in August and $ 0.944911 in November. Investors could see a potential ROI of 40.93%, suggesting a favorable investment environment.
Please🙏 Follow Me ❤
#BNBBreaks1000
Somehow I have feeling the economy is going to blow anytime soon.
Cryptopolitan
--
Trump demands historic rate cut as inflation threat looms
The US stock market just blew past every record in history, as the capitalization-to-GDP ratio hit 208% this week, jumping nearly 43 percentage points since April. That crushes the previous high of 206% from February and more than doubles the ratio from nine years ago.
The last time things were this overheated was during the Dot-Com Bubble in 2000, and even then, the ratio only hit 142%. For reference, the average over decades sits around 85%.
The S&P 500 rose 0.6% on Wednesday, and the Nasdaq Composite gained around 0.4%, while the Dow Jones added 84 points, that’s about 0.2%. The entire push came from the same sector that’s been running the show: tech.
And at the center of it all was Nvidia, which has surged 4% and became the first company ever to cross a $4 trillion valuation. Big names like Meta Platforms, Microsoft, and Alphabet also gained, fueled by what traders called renewed “AI optimism.” Investors didn’t care about tariffs or rate chatter. They were chasing what was going up.
Trump demands historic rate cut as inflation threat looms
At the same time, President Donald Trump has demanded that the Fed should cut interest rates by more than 300 basis points, calling it “the only way to save the taxpayer from this absurd debt load.”
If Jerome Powell actually delivers, this would be three times larger than the 100 bps cut from March 2020, which was already the biggest in US history.
Trump pointed to the $1.2 trillion in annual interest payments on the national debt, saying, “We’re burning $3.3 billion a day just on interest. That’s robbery.” He argued that a 3% rate cut would save $360 billion per point per year, or $1.08 trillion annually. His numbers come from applying 1% to the full $36 trillion in US debt.
But economists were quick to correct that only $29 trillion of that is publicly held, which is what actually matters. The average interest rate on that debt is about 3.3%. So even if rates on all of it dropped by 3%, the total savings would come to $870 billion per year.
But there’s no way to refinance that overnight. Most experts say only 20% of it could be rolled over in the first year, bringing savings to around $174 billion in that timeframe.
Assuming a similar 20% rollout over five years, total cumulative savings could touch $2.5 trillion. But the economic fallout would be massive. No single rate cut has ever exceeded 100 bps, not even in 2008. The largest one-time slash was in March 2020. Trump’s plan triples that, and he’s proposing it while the economy is growing 3.8% year over year, not shrinking.
Markets could explode, but so will inflation and housing
If the Fed actually cuts rates like Trump wants, the short-term impact would be clear. Asset prices would go vertical. Analysts say the S&P 500 could race past 7,000, gold would cross $5,000 per ounce, and oil would spike to $80 a barrel. Crypto would likely follow the same pattern, as it did in 2020 when stimulus and low rates fueled explosive gains.
Real estate would also feel it hard. Mortgage rates could drop from 7% to 4%, but prices, already 50% higher since 2020, would surge another 25% or more. Any boost to affordability would get wiped out by rising home values. Renters and first-time buyers would be locked out of the market even faster than they already are.
The US dollar would take a beating too. Analysts say a 10%+ decline is likely. That would stack on top of the -10.8% drop already seen in Q1 and Q2 2025, the worst six-month start for the dollar since 1973. A weaker dollar could help US exports a little, but it would make imports, fuel, and everything priced globally more expensive.
Gold prices, already up 40% in the past year and 80% over the last five years, would accelerate even further. Inflation would spike. Economists say CPI would exceed 5%, erasing wage growth and hitting low-income families hardest. It would also kill any chance of the Fed keeping control over long-term inflation targets.
And it all leads back to one thing. Even if rate cuts give the economy a sugar high, they don’t fix the core issue. As of May, the US Treasury recorded a $316 billion budget deficit, the third-highest on record. Trump’s critics inside the Beltway argue that “we have a spending problem, not a rates problem.” Lowering interest won’t fix the fact that the US keeps borrowing more than it can pay back.
KEY Difference Wire helps crypto brands break through and dominate headlines fast
The last time things were this overheated was during the Dot-Com Bubble in 2000, and even then, the ratio only hit 142%. For reference, the average over decades sits around 85%.
The S&P 500 rose 0.6% on Wednesday, and the Nasdaq Composite gained around 0.4%, while the Dow Jones added 84 points, that’s about 0.2%. The entire push came from the same sector that’s been running the show: tech.
And at the center of it all was Nvidia, which has surged 4% and became the first company ever to cross a $4 trillion valuation. Big names like Meta Platforms, Microsoft, and Alphabet also gained, fueled by what traders called renewed “AI optimism.” Investors didn’t care about tariffs or rate chatter. They were chasing what was going up.
Trump demands historic rate cut as inflation threat looms
At the same time, President Donald Trump has demanded that the Fed should cut interest rates by more than 300 basis points, calling it “the only way to save the taxpayer from this absurd debt load.”
If Jerome Powell actually delivers, this would be three times larger than the 100 bps cut from March 2020, which was already the biggest in US history.
Trump pointed to the $1.2 trillion in annual interest payments on the national debt, saying, “We’re burning $3.3 billion a day just on interest. That’s robbery.” He argued that a 3% rate cut would save $360 billion per point per year, or $1.08 trillion annually. His numbers come from applying 1% to the full $36 trillion in US debt.
But economists were quick to correct that only $29 trillion of that is publicly held, which is what actually matters. The average interest rate on that debt is about 3.3%. So even if rates on all of it dropped by 3%, the total savings would come to $870 billion per year.
But there’s no way to refinance that overnight. Most experts say only 20% of it could be rolled over in the first year, bringing savings to around $174 billion in that timeframe.
Assuming a similar 20% rollout over five years, total cumulative savings could touch $2.5 trillion. But the economic fallout would be massive. No single rate cut has ever exceeded 100 bps, not even in 2008. The largest one-time slash was in March 2020. Trump’s plan triples that, and he’s proposing it while the economy is growing 3.8% year over year, not shrinking.
Markets could explode, but so will inflation and housing
If the Fed actually cuts rates like Trump wants, the short-term impact would be clear. Asset prices would go vertical. Analysts say the S&P 500 could race past 7,000, gold would cross $5,000 per ounce, and oil would spike to $80 a barrel. Crypto would likely follow the same pattern, as it did in 2020 when stimulus and low rates fueled explosive gains.
Real estate would also feel it hard. Mortgage rates could drop from 7% to 4%, but prices, already 50% higher since 2020, would surge another 25% or more. Any boost to affordability would get wiped out by rising home values. Renters and first-time buyers would be locked out of the market even faster than they already are.
The US dollar would take a beating too. Analysts say a 10%+ decline is likely. That would stack on top of the -10.8% drop already seen in Q1 and Q2 2025, the worst six-month start for the dollar since 1973. A weaker dollar could help US exports a little, but it would make imports, fuel, and everything priced globally more expensive.
Gold prices, already up 40% in the past year and 80% over the last five years, would accelerate even further. Inflation would spike. Economists say CPI would exceed 5%, erasing wage growth and hitting low-income families hardest. It would also kill any chance of the Fed keeping control over long-term inflation targets.
And it all leads back to one thing. Even if rate cuts give the economy a sugar high, they don’t fix the core issue. As of May, the US Treasury recorded a $316 billion budget deficit, the third-highest on record. Trump’s critics inside the Beltway argue that “we have a spending problem, not a rates problem.” Lowering interest won’t fix the fact that the US keeps borrowing more than it can pay back.
KEY Difference Wire helps crypto brands break through and dominate headlines fast
The GENIUS Act, was passed 68-30 on Tue 17Jun2025 by the US Senate; and will likely be passed by the House of Representative, controlled by the Republicans. The Act provides regulatory framework for the issuance of stablecoins, required to maintain a 1:1 peg against liquid assets like US Treasuries and dollars; and report monthly reserves composition.
Forgetting about the Trump family meme coins, opponents are concerned about the possible "carelessness" of private firms especially big tech, issuing their own stablecoins, that are not subject to the central bank's or other authorized FI to monitor its flows across borders. This was seen by the announcement by Trump's crypto business World Liberty Financial, releasing a statement that a Abu Dhabi investment firm will be using their stablecoins to invest in Binance.
This has upped the ante in the fight against money laundering; but is also a step towards liberty against government's digital control of the people's money. Every coin, or stablecoin for this matter, has 2 sides. How can we reach a stable balance, with liberty of usage, yet minimizing the criminal use of digital money? Share your thoughts! Follow me for more insightful news and discussions.
#Stablecoins #MoneyLaundering
(news credit: Reuters)
Forgetting about the Trump family meme coins, opponents are concerned about the possible "carelessness" of private firms especially big tech, issuing their own stablecoins, that are not subject to the central bank's or other authorized FI to monitor its flows across borders. This was seen by the announcement by Trump's crypto business World Liberty Financial, releasing a statement that a Abu Dhabi investment firm will be using their stablecoins to invest in Binance.
This has upped the ante in the fight against money laundering; but is also a step towards liberty against government's digital control of the people's money. Every coin, or stablecoin for this matter, has 2 sides. How can we reach a stable balance, with liberty of usage, yet minimizing the criminal use of digital money? Share your thoughts! Follow me for more insightful news and discussions.
#Stablecoins #MoneyLaundering
(news credit: Reuters)
#FOMCMeeting Almost all the analysts and economists expect the Fed to hold the rate steady. More data needed on the inflation, that's still above 2%: and unemployment rate, which is expected to be good (no thanks to the anti-immigrants actions). Trump 0, Powell 1. #BTC
Wednesday 18 June 2025 is FOMC meeting. Trump has been pressuring Powell to lower the Fed rate, even threatening to replace Powell if he doesn't, which Trump actually does not have the power to do so, although he can support his candidate and influences.
Given the high rate of tariff is affecting the goods prices that America relies on many imports, and now that the oil price is closer to $80, my guess is Fed will hold the rate steady, and watch for the next few weeks first.
What do you think?
#FedRateDecisions
Given the high rate of tariff is affecting the goods prices that America relies on many imports, and now that the oil price is closer to $80, my guess is Fed will hold the rate steady, and watch for the next few weeks first.
What do you think?
#FedRateDecisions
I guess I'm forgiven for not seeing that Israel will attack Iran, and caused a major pullback. I lost 10% on my portfolio. But as the market continues to absorb the news, I will wait at the sidelines first than to cut loss. Do you think it's a good strategy?#MarketPullback #IsraelIranConflict $BTC
DOJ to sell Silk Road BTC?
DOJ has been given green light to sell 69,370 BTC seized from the Silk Road. Coupled with the equities dropped as a result of potentially the FED won't cut interest rate this month (Jan 2025), crypto market is spooked, and BTC dropped from ~95k to now ~93.5k.
Will there be more liquidation? Probably. Or probably not, as usual, as market might have digested the news, but many are waiting at the sideline for more data and guidance.
Just trade carefully, as the focus is now closer towards the president inauguration in a week-plus time, and any other future policies to be announced by Trump.
I would expect Trump to protest the sale, and even support the notion of revealing the hacker "Individual X". This would provide some support to BTC. Let's see. #BTC #SilkRoad
Will there be more liquidation? Probably. Or probably not, as usual, as market might have digested the news, but many are waiting at the sideline for more data and guidance.
Just trade carefully, as the focus is now closer towards the president inauguration in a week-plus time, and any other future policies to be announced by Trump.
I would expect Trump to protest the sale, and even support the notion of revealing the hacker "Individual X". This would provide some support to BTC. Let's see. #BTC #SilkRoad
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