The U.S. has entered a new fiscal era as its debt interest payments surpass $1 trillion, now exceeding expenditures on defense and Medicare. This shift in federal spending priorities is expected to have significant implications for the cryptocurrency sector. The Congressional Budget Office (CBO) projects $13.8 trillion in interest payments over the next decade, with national debt anticipated to reach 118% of GDP by 2035.
In response to these economic pressures, the GENIUS Act has been introduced, linking stablecoins to U.S. Treasuries as part of a broader national debt strategy. This legislative move could lead to higher taxes and stricter regulations for cryptocurrencies, as the government seeks to integrate digital assets into its fiscal framework.
U.S. Debt Interest Tops $1 Trillion, Impacting Crypto Regulations
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