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US-based economics magazine Forbes announced that Bitcoin could become a neutral reserve asset for the global economy!

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The US-based business and economics magazine Forbes has suggested that Bitcoin could play a significant role as a neutral reserve asset in the global financial system in the future. According to the magazine, Bitcoin has the potential to offer an alternative to the growing debate surrounding the US dollar’s reserve currency status and the current system’s reliance on US government bonds.

Forbes’ assessment stated that the dollar’s status as the global reserve currency provides significant advantages to the United States. While this status makes it easier for the US to secure financing, it also highlighted a structural problem known as the “Triffin Dilemma.” According to this concept, it is becoming increasingly difficult for the US to simultaneously meet its own economic needs and manage the world’s demand for reserve currency.

The magazine stated that the current system attracts global capital to the US and allows American consumers access to imported goods at lower costs, but this weakens domestic competitiveness and deepens trade deficits. It noted that since the end of the gold standard, the system has largely been sustained through US bonds, but fundamental contradictions remain unresolved.

Forbes argued that stablecoins also cannot fully solve the reserve asset problem because these assets are largely backed by US government bonds. While gold is a neutral reserve asset, it has some limitations in terms of portability, verification, and transaction efficiency.

In contrast, it has been suggested that Bitcoin, with its fixed supply, lack of need for government credit guarantees, and ease of verification and transfer on a global scale, could become a new generation of neutral reserve assets.

According to Forbes, while the dollar will continue to be used in international trade, Bitcoin could eventually assume the role of a reserve asset, reducing the global economy’s dependence on a single country’s debt instruments. However, the magazine also highlighted that obstacles such as price volatility and limited institutional adoption need to be overcome.

*This is not investment advice.