As USD Fails, Goldman Sachs Ignores Bitcoin – Bitcoin Magazine

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This week, one of the world’s preeminent investment banking enterprises signalled some serious FUD against the U.S. dollar.

“Combined with a record level of debt accumulation by the U.S. government, real concerns around the longevity of the U.S. dollar as a reserve currency have started to emerge,” the bank wrote in a correspondence with clients, according to multiple news reports. “The greater the deflationary concerns that policymakers must fight today, the greater the debt build-up and the higher the inflationary risks are in the future.”

In addition to the red flag around debt accumulation, the analysts pointed to a growing debasement risk emerging as a result. And they went on to recommend an alternative safe haven for investors.

“Gold is the currency of last resort, particularly in an environment like the current one where governments are debasing their fiat currencies and pushing real interest rates to all-time lows,” the analysts wrote. “With more downside expected in U.S. real interest rates, we are once again reiterating our long gold recommendation from March.”

Firstly, I commend Goldman for recognizing the fundamental problems emerging in our fiat system. This warning from one of the legacy system’s most ingrained institutions is no small thing and, along with other major cracks in the system — like record-low interest rates, a worldwide pandemic, the emergence of what the prescient Marty Bent calls “Woke Capital,” etc. — it is clear that the prevailing economic system is already failing or will soon fail many of us.

But it should also be pointed out that Goldman Sachs is steering its investors to a safe haven that doesn’t hedge against this failing system as well as bitcoin does.

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