Bitcoin BTC/USD advocate Anthony Pompliano believes it is clear to him that America will not balance its budget and that a weaker dollar will keep pushing up the prices of financial assets.
What Happened: Pompliano posted on X, stating that the odds of a U.S. balanced budget are now "near zero" and warns that "dollar debasement will drive asset prices until they bury me six feet under."
Pompliano's stark warning landed the same day investors snubbed a $16 billion sale of 20-year Treasury bonds. The auction's weak demand drove the 30-year yield above 5%, a level not seen since late 2023, and sent long-dated bond prices to 19-month lows.
The sell-off rippled across markets: major stock indexes fell and the U.S. dollar slipped, signaling fresh nerves over how Washington will finance its growing debt pile.
Why It Matters: Debt worries were already on edge after Moody's last week stripped the U.S. of its final triple-A credit rating, citing soaring deficits and rising interest costs. The downgrade puts Moody's in line with earlier cuts from Fitch and S&P.
Pompliano isn’t the only one sounding the ‘dollar debasement’ alarm. During the 2025 Berkshire Hathaway Annual Meeting, Warren Buffett lamented the depreciating U.S. dollar and warned that investors would avoid holding assets in a currency losing value.
On Capitol Hill, House Republicans are rallying around President Donald Trump's "Big Beautiful Bill," a tax-and-spending package that analysts say would widen the deficit by as much as $4.9 trillion over the next decade.
Pompliano, whose venture fund holds sizable Bitcoin stakes, has long argued that scarce digital assets outperform in eras of fiscal excess. With yields surging and credit quality slipping, his latest salvo taps into a growing chorus, from Wall Street strategists to veteran hedge-fund managers, warning that Washington's spending path could crowd out investment and keep inflation sticky.
Notably, Pompliano has recently launched a SPAC that targets the financial services sector. He took Pro Cap Acquisition PCAPU public this week. The blank check company has raised $220 million.
Photo Courtesy: Digihelion on Shutterstock.com
Edge Rankings
Price Trend
© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.