So-Called Great and Beautiful Bill in the heart of (Big beautiful bill) Panorama that Bitcoiner can’t ignore lies. According to politicians, economists and the Bitcoin community, they promise economic prosperity through policies that can weaken the dollar through larger debt and at the same time establish surveillance systems that attack the privacy of digital asset users.
After approval coordinated by the Senate on July 1 (51-50, Vice President JD Vance’s decisive vote), President Donald Trump was able to sign a great and beautiful bill before it was over this weekif the House of Representatives allows the revised version without modifying it.
The bill, which covers over 1,000 pages, raises concern, especially among the privacy defenders and the Bitconner community, but promises important economic transformation.
The regulations aim to promote economic growth through tax incentives. However, it simultaneously reduces spending on key social programs, such as free medical coverage and nutrition planning. at the same time, National debt is rising considerablyenhancing the delicate balance between immediate economic stimulation and long-term financial challenges.
For Bitcoin users, the law represents a turning point in the relevance of pioneer digital currency in the context of financial uncertainty and invasive regulation.
This implies that it is key to investigating and analyzing why this project has an impact on Bitcoin and transcending US borders.
What includes this mega-economic reform?
Section 112105 of the project introduces a 5% tax on overseas remittances (remittances) as defined by the Consumer Financial Protection Bureau (CFPB). Therefore, centralized Bitcoin and cryptocurrency exchanges etc. Binance or Coinbase may act as a collector In the case of the Ministry of Finance.
This remittance tax raises serious privacy concerns. Users can avoid tax by identifying suppliers complying with the verification agreement, but this means disclosure of personal information.
Peter Van Valkenburgh, research director at Coin Center, describes the scale as a “large scale surveillance and management regime” that punishes those who protect their privacy.
Transactions using non-custody Bitcoin wallets are exempt Centralized exchanges can face pressure to collect data; Even those who are not clients evoke the precedent of “midnight regulations in 2020.” Coin Center advocates safeguards, including excluding non-custodial entities (miners, developers) and using privacy preservation techniques.
It is also included in the bill
- Tax reductions to stimulate the economy: The law establishes permanent tax rates of 10%, 12%, 22%, 24%, 32%, 35%, 35%, 37% for individuals and businesses, with the aim of consolidating the 2017 tax cuts and stimulating the economy.
- Dramatic social spending reductions: The project will fund some of the tax cuts with significant reductions in social programs and generate criticism of the impact on vulnerable groups. Food aid, for example, eliminates 68 billion, imposes stricter labor requirements, and limits access to food for the poorest.
- Bigger investments in security and defense: The law allocates more than $46 billion for an additional $150 billion to strengthen the construction of border walls and military budgets.
These measures reflect approaches in strengthening traditional sectors, but also supply deficits.
Financial impact: Growth or unsustainable debt?
The reforms promised a positive, positive economic impact, and according to optimistic forecasts, it created an estimated GDP growth rate and 5.2% growth over four years and 7 million jobs.
However, the cost is higher because:
Critics such as Peter Schiff and Thomas Massie have warned that the “debt pump” could cause a dollar crisis. Massie, one of the few Republicans who voted against it, compared the project to “put coal into a boiler and directed it towards the iceberg,” and it could reach $30 trillion in national debt over a decade, costing $16,000 per family.
Why do Bitcoiners need to be careful?
The great and beautiful bill has deep meaning to the BitConnor community and digital assets, both for risk and opportunity.
Increased debt and mistrust of the dollar strengthen Bitcoin as an aggressive evacuation against inflation and uncontrolled financial emissions. In the “infinite debt” scenario, Pioneer’s digital currency is positioned as a diversified asset that can maintain value.
Fiscal cuts can increase liquidity and encourage investment in assets such as Bitcoin, and can raise prices. In 2017, the tax cut coincided with the Bitcoin Rally, but this could be repeated.
In short, the great and beautiful bill could be a new chapter in the US debt crisis, and BTC is there to offer alternatives. If Congress approves it before July 4th, we will face structural changes that could give way to:
- We will accelerate the adoption of Bitcoin as a shelter.
- Push the long term dollar.
- It strengthens the story of hyper-bitcoinization.
- Bitcoin mining incentives.
Meanwhile, regulatory pressure on centralized exchange can accelerate the use of Bitcoin wallets without custody and strengthen the principles of autonomy and privacy, which are fundamental to the currencies philosophy created by Nakamoto Sato.
According to Santiment’s report, the great and beautiful bill would encourage the mining of Bitcoin. According to their calculations, the new 100% accelerated depreciation method allows companies to estimate a total cost of $1 million in the first year, generating large, immediate financial savings.
This financial “superpower” will allow for a significant reduction in taxes from the first year. Capital that can be quickly reinvested in more minersinfrastructure improvements or debt payments.
This incentive especially encourages US mining companies to acquire more efficient equipment and increase hashrates from their networks.
What will continue?
His company appears to be imminent due to Republican leaders such as Senator Bill Hagerty’s commitment to sending the project to Trump by July 4th. However, criticism of figures such as Massie, Schiff, and Coin Center highlights the risks of this reform to both the economy and Bitcoin users and cryptocurrency privacy.
While the law offers specific benefits to certain groups, it is clear that its true legacy is the acceleration of financial unsustainability and a new front in the fight for financial privacy. For BTC users, this law is more than just political noise;This is a macroeconomic event that simultaneously strengthens its long-term value papers, while presenting immediate regulatory threats.
Washington’s policy lays the foundation for the next great debate about the value of money, and Bitcoin is more at the heart of the conversation than ever before.
