TL;DR
- Frank Holmes argues that fiat money expansion, rising global debt nearing $340 trillion, and the persistence of MMT are increasing Bitcoin’s appeal as a store of value.
- A survey shows that one in four Americans plans to use crypto.
- Holmes notes that gold and stablecoins have reached mass adoption, and that growing distrust in the state is strengthening Bitcoin as a key pillar of the digital economy.
Frank Holmes, executive chairman of HIVE Digital, says that fiat money expansion and rising global instability are reinforcing Bitcoin’s position within the global economy.
According to Holmes, global debt amounts to roughly three times global GDP, about $340 trillion, accumulated over the past 25 years. This is compounded by the continued use of modern monetary theory (MMT), which drives ongoing money printing with no sign of slowing. In Holmes’s view, this environment makes Bitcoin increasingly valuable as a hedge against the debasement of traditional money.
The Gold and Stablecoin Boom
A recent survey by the National Cryptocurrency Association found that one in four Americans plans to spend crypto on holiday purchases or give it as a gift. At the same time, Washington is moving toward greater regulatory clarity, which directly supports broader crypto adoption, even as Bitcoin’s price remains under pressure due to market volatility.
Holmes points out that gold and stablecoins are also benefiting from these dynamics. Central banks continue to accumulate gold while largely steering clear of crypto assets.
In parallel, major economies, including BRICS countries, are working to reduce dollar-based trade, encouraging alternatives such as stablecoins. Tether, for example, is a major buyer of gold and Bitcoin and holds more government securities than Germany. Across Latin America, Africa, Eastern Europe, and parts of Asia, citizens are adopting stablecoins at scale, a trend that often leads them to also invest in BTC.
For Holmes, Bitcoin Will Continue to Strengthen as a Store of Value
Holmes emphasizes the growing distrust citizens have toward their governments. While some are selling U.S. Treasuries, others are seeking refuge in physical dollars or stablecoins. This behavior, he says, is setting the stage for a structural advance in Bitcoin, positioning it as a core component of the transition toward a globally scaled digital economy.
Holmes issued a clear warning: monetary expansion will continue, and MMT is not going away. To protect against the effects of money printing and financial instability, he recommends that investors consider holding Bitcoin as a strategic asset within their portfolios
