Usdt will rise in price and will be more profitable than the dollar, according to Saifedean Ammous

Saifedean Ammous, the author of the book “The Bitcoin Patron”, took the stage of the Bitcoin Conference that is held until today in Las Vegas, to draw the mental map projecting Tether to the year 2035. His thesis starts from the idea that the company emitting the Stablecoin Usdt could break its parity 1: 1 with the dollar, but not down, but not upwards Hybrid monetary, in which Bitcoin (BTC) is key.

“Let me a mental experiment,” Ammous proposed, with his voice full of conviction. He projects that Tether It could reach a market capitalization of approximately 20 billion dollars by 2035assuming an annual growth rate of 60% over the next 10 years.

Then, the economist invited the audience to assume that the company behind the USDT stablinin invests 80% of its capital in American treasure bonds, something that many could be seeing how salvation for the US dollar.

“But that is pure illusion,” Ammous said. «Because the impact on yields would be marginal, 22.5% less on the most optimistic stage. Meanwhile, the 2 billion budget deficit and a galloping public debt towards the 37 billion dollars would devour that help as a snack. I would not move the needle in defense of the dollar, ”he added.

The real domino effect, he explained, would be seen in the weakest currencies of the planet, as explained later.

«When a collapse currency and the people of that country start using USDT, this does not create a new demand for the United States Treasury Bonds, but simply cannibals the demand for the bonds of the failed country. Even if a fraction arrives in the United States, it is not likely to make a significant difference for the United States because its budget deficit is huge and would be a drop in the ocean to contain the debt snowball.

Saifedean Ammous, economist.

So, given the inevitable devaluation of the dollar that could drag Tether to the collapse or the non -payment of the USA. As it happened with Russia, Ammous believes that the only intelligent maneuver that the company should do is to buy Bitcoin. They are even doing it, since after a recent purchase, reported by cryptootics, The total holdings of the company amount to 92,647 BTC. “It is a fortune of more than 10 billion dollars, while their dollar holdings are eroded day by day,” said the economist.

Goodbye to parity with the dollar: USDT would raise its value

According to Ammous’s calculations, what is coming for Teher’s stablcoin is An inevitable revaluation because while Bitcoin can be seen, the dollar depreciates. It is a matter of time that Bitcoin’s reserves of Tether are more than their reservations in dollars, ”he added.

And then the unthinkable will happen, that is, that USDT will revalue. «If today 1 USDT is equal to 1 dollar, tomorrow it could be 1.02, and so on. Tether’s stable would become intrinsically more attractive than the dollar itself that supposedly replicates, ”said Ammous.

This scenario would unleash a “virtuous circle” of epic proportions, as the economist explained to the Bitcoin Conference audience.

«The tther stablecoin that can be seen attracting an unprecedented global demand. With this avalanche of capital, Tether would buy more treasure bonds, probably to maintain appearances, and, crucially, much more Bitcoin. And since the Bitcoin market is a pool compared to the United States debt ocean, each purchase would boost its price much faster, further accelerating the USDT revaluation ».

Saifedean Ammous, economist.

Ammous’s “nuclear conclusion” is that by anchoring his bitcoin reserves, USDT ceases to be a simple dollar appendix to transform into a bridge Towards the pioneer digital currency. And with millions of people, seeking stability, they will end up interacting with a digital monetary system, based on private keys and scheduled scarcity. As Ammous sees it, it will be a cultural and strategic victory for Bitcoin.

The final thrust that the economist gave is that Tether will definitely not save the dollarbut his strategic accumulation of Bitcoin could be precisely what sinks it. If Tether begins to revalu Usdt using the profits of his growing Bitcoin holdings, a massive leak of the dollar would be triggered. People will not want an asset that loses value in front of a stablecoin that earns it.

Seeing it like this, USDT would no longer be a stablecoin to become a digital currency that increases in value, and that in itself would be a kind of financial trustee horse, introducing a de facto bitcoin standard.

Ammous concluded with a maxim that was surely recorded in the minds of many: «Bitcoin has numbers upload technology. The dollar, down. What it ups always surpasses what falls ».