Bitcoin’s Golden Ticket: Why Trump Skipped Tariffs on Gold 🪙

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Luke Gromen, the so-called “Macro Guru” (because apparently, everyone needs a fancy title these days), has declared that Bitcoin might just hitch a ride on gold’s shiny coattails. Why? Because gold could dethrone US Treasuries as the world’s favorite settlement asset. 🏆

In his latest video, Gromen, who probably has a crystal ball hidden somewhere, suggests that if the White House is serious about bringing manufacturing back to the US, they’ll need to stop exporting dollars and Treasuries like they’re handing out candy on Halloween. 🍬

To achieve this, Gromen proposes a wild idea: let gold take the crown as the primary settlement asset. A settlement asset, for those who skipped Economics 101, is the financial equivalent of a handshake between central banks and governments. 🤝

And here’s the kicker: if gold becomes the new king, Bitcoin might just be the court jester that everyone starts taking seriously. 🃏

Gromen explains, with the confidence of someone who’s never been wrong (or at least never admits it):

“We can export Treasuries and financial assets, or we can make stuff, but if we want to make stuff, that’s the end of the post-1971 US dollar reserve status structure. And it’s an underappreciated point.

The way you get around it is you shift the settlement asset away from Treasuries to a neutral reserve asset like gold. I think that process has been started.

I thought it was extraordinarily interesting and potentially important that Trump did not put tariffs on gold. He put tariffs on everything else in the world, including an island full of penguins, apparently, but not gold, which tells me that’s where we want capital to go, and that’ll weaken the dollar which, guess what, if gold goes up a bunch, it’ll strengthen the dollar system because it’ll be more gold-backed and you’re going to weaken the dollar. That’s how you split the baby around Triffin’s Dilemma and a neutral reserve asset.

I think Bitcoin probably benefits over time from that, too.”

Triffin’s Dilemma, for those who don’t have a PhD in Economics, is the fancy way of saying the US is stuck between a rock and a hard place: it needs to run trade deficits to keep the world supplied with dollars, but it also needs to keep inflation and confidence in check. 🤯

At the time of writing, Bitcoin is trading for $84,603, which is either a bargain or a rip-off, depending on who you ask. 💰

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2025-04-14 23:02