- Brian Armstrong argues that Bitcoin creates healthy competition for the US dollar.
- Rising US debt and dollar exposure are driving investors toward alternatives like Bitcoin.
According to Brian Armstrong, CEO of Coinbase, Bitcoin provides healthy competition for the US dollar, putting pressure on politicians to maintain fiscal discipline and defend the currency’s worldwide dominance.
This perspective is shaped by a rising trend among overseas investors. Recently, they have been gradually rotating their funds into non-dollar assets such as gold, emerging-market currencies, and cryptocurrencies to hedge their exposure against the US dollar, as per a JP Morgan report, reflecting a broader structural change in global capital flows.
He further argued, “Bitcoin indirectly keeps the dollar in check by ensuring the Federal Reserve and financial regulators avoid actions that could undermine confidence in the US economy. So I actually think in a strange way, Bitcoin is helping extend the American experiment,” in an interview on Thursday.
Bitcoin is good for USD.
It creates competition in a way that’s healthy for the dollar, which helps to provide a check and balance against high inflation and deficit spending. pic.twitter.com/iHjQCJVqCb
— Brian Armstrong (@brian_armstrong) December 28, 2025
Soaring US Debt and Bitcoin’s Growing Relevance
As Bitcoin is currently trading at $90,108, according to CMC data, at the time of writing, it hit its all-time high on October 7th, and since then, it has been down by around 28.57%.
Whereas the dollar accounts for 58% of global foreign exchange reserves in 2025, a decline from its 2001 peak of 72%, as per Federal Reserve data. Also, the US national debt has boomed to $38.37 trillion and is now rising by $110,019 per second, as per the US Congress Joint Economic Committee’s debt dashboard.
With that, in March, the Trump administration issued an executive order establishing a Strategic Bitcoin Reserve to handle the country’s increasing debt. Several United States senators claimed the move might help reduce the country’s increasing debt.
However, the reserve now only retains seized Bitcoin and does not make fresh acquisitions, and the Bitcoin Act of 2025, which is designed to assist the project, is still in the early stages of Congress.
As global investors shift away from the US dollar in the face of rising debt and fiscal uncertainty, Bitcoin emerges not only as an alternative asset but also as a structural counterbalance to traditional monetary power. Brian Armstrong’s belief reframes Bitcoin as a disciplining force, pressuring policymakers to maintain trust, credibility, and discipline in US fiscal and monetary policy.
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