Bitcoin Genesis Day draws attention as US federal debt surpasses $38 trillion.

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As the Bitcoin community celebrated "Genesis Day," the U.S. federal government's debt surpassed $38 trillion. This dramatic contrast drew market attention, highlighting the difference between Bitcoin (BTC), which has a "fixed supply," and existing monetary systems that allow unlimited deficits.

US federal debt surpasses $38 trillion for the first time ever

According to U.S. Treasury data, the total U.S. federal government debt exceeded $38 trillion as of January 3, 2026. Just two years ago, in early 2024, it was around $34 trillion, but it has grown by several trillion dollars annually since then, reaching nearly $38.5 trillion by the end of 2025. Experts recently analyzed that this debt is increasing by approximately $6 billion (approximately KRW 8.676 trillion) per day.

This upward trend is driven by structural budget deficits, increasing interest burdens, and massive spending bills passed by Congress. This figure, which includes publicly held Treasury bonds and bonds held by government trust funds, is more than just a simple number; it's seen as a symbol of the structural risks facing the U.S. economy.

Bitcoin's Inception Dayโ€ฆ Contrast with the Debt System Highlighted

Meanwhile, on the same day, the cryptocurrency community celebrated the creation of Bitcoin's first block, the so-called "genesis block," created on January 3, 2009. This block featured the headline "The Times" that read, "Chancellor on brink of second bailout for banks." This remains a landmark, symbolizing Bitcoin's philosophy of decentralized currency, free from central government intervention.

Bitcoin supporters are increasingly comparing the dollar system, with its unlimited money supply, to Bitcoin's fixed supply of 21 million coins, as Genesis Day coincides with the record-breaking US debt. One user wrote on social media, "Bitcoin is becoming more valuable every year, while the dollar's purchasing power is diminishing year after year."

Market reactions are mixed: digital gold vs. short-term volatility.

Assets like Bitcoin, with their clearly defined supply caps, also highlight their role as fixed assets in times of high debt. Some investors and analysts, along with gold, view Bitcoin as a "debt risk hedge," but traditional economists warn that excessive debt can ultimately lead to long-term risks, such as rising interest rates, slowing growth, and reduced fiscal flexibility.

BTC is currently trading at around $91,487 (approximately 132.33 million won), and some in the market are paying attention to how this year's U.S. presidential election and the Federal Reserve's monetary policy will affect the price.

Article Summary by TokenPost.ai

๐Ÿ”Ž Market Interpretation

As the U.S. debt surpassed $38 trillion for the first time ever, Bitcoin's contradictory image was once again highlighted. This, coupled with a market movement to interpret Bitcoin as digital gold, is attracting investor attention.

๐Ÿ’ก Strategy Points

Amidst macroeconomic uncertainties such as persistent fiscal deficits, high interest rates, and the US election, scarce assets like Bitcoin and gold may become increasingly important in medium- to long-term investment strategies. Symbolic events like Genesis Day reinforce this perspective.

๐Ÿ“˜ Glossary

- Genesis block: Bitcoin's first block, created on January 3, 2009.

- Gross Federal Debt: Total debt held by the U.S. government, including bonds held by public and government trust funds.

- Decentralization: A structure that operates as a network without the intervention of a central bank or government.

๐Ÿ’ก Want to know more? AI-prepared questions for you:

Q. What is the meaning of Bitcoin's genesis block?

A. The genesis block, mined on January 3, 2009, contained a critical message against "government bailouts and central bank-led monetary systems," marking the symbolic starting point for Bitcoin's pursuit of an alternative to the centralized financial system.

Q. What happens when the U.S. federal debt increases?

A. As debt increases, interest payments to repay it will increase, putting pressure on other budget items. Furthermore, negative ripple effects such as credit rating downgrades, rising interest rates, and slowing economic growth are expected.

Q. Why is Bitcoin called a means of debt relief?

A. Bitcoin is evaluated as an asset with "scarcity" due to its fixed issuance amount of 21 million coins. Since it is not issued in unlimited quantities like fiat currency, it is attracting attention as a means to avoid inflation or debt risks.

Q. Why is Genesis Day a notable event?

A. Genesis Day commemorates the launch of Bitcoin. It serves as a significant symbol that refocuses attention on the philosophy and raison d'รชtre of cryptocurrency, while also broadening market discourse by contrasting it with traditional finance.

TP AI Precautions

This article was summarized using a TokenPost.ai-based language model. Key points in the text may be omitted or inaccurate.

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#Bitcoin #FederalDebt #GenesisDay #InflationHedge

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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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