Trust in the US dollar (USD) is eroding, which could boost the reserve’s large adjustments and portfolio, boosting Bitcoin (BTC) as a reliable value reserve asset, showing a new report on Coinbase’s cryptocurrency exchange.
The analysis shows that this scenario is powered by a sustained increase in twin deficits called by US SOs – prosecutors and commercials – and a trajectory of public debt that is deemed unsustainable. This also adds protectionist policies implemented by President Donald Trump.
This combination It makes it Weakening the recognition of dollars as a safe havenit could lead to great global institutions and governments to reassess their mission.
A restructuring of a portfolio of this size could warn Coinbase, leading to significant long-term sales pressures in the US currency and large adjustments to the portfolio over the coming months and years.
For exchange, this context strengthened the 10-year decline in the dollar area of central bank reserves, as shown in the following graph. “What comes next could represent a turning point for Bitcoin, especially for cryptocurrency, and in general,” he says.
“Current changes around the US dollar have made value reserve assets stand out, such as gold and Bitcoin.
Coinbase, American Cryptocurrency Exchange.
The company adds that even if tax cuts are applied, the impact on confidence in the dollar has already been in place. Instead, A weaker currencies could encourage US exports, but can make a sacrifice that erodes its role as a reserve of value.
“In an age of radical change in the monetary system, rules about what gives money value will become more and more valuable assets, such as gold, as well as more and more valued,” Coinase said.
The growing interest in Bitcoin and Gold is primarily based on its decentralized mining and rare supply Enables evaluation of incoming demandas reported by Cryptonoths. This could be unlimited to government decisions on duty, unlike Fiat money issued by the central bank.
Coinbase, if more countries diversify reserves from the dollar, it is It could mean a potential flow of $1.2 billion Bitcoin. This could be driving interest in some states to create strategic bookings for Bitcoin, according to the report.
Already in March 2025, the White House officially made the creation of a strategic Bitcoin Reserve, seizing some 198,000 BTCs seized illegal activities. It is also estimated that China has 190,000 BTC as a result of the attack, but at this time these holdings are not considered part of its treasure. Other countries, such as Germany, Switzerland, Japan, Finland and the Czech Republic, are considering investing in assets.
Bitcoin prices will be strengthened from growing government adoption
Gold holdings in international reserves have gone from 10% to 23% over the course of 10 years, but currency ownership has declined. This strengthens the trend towards alternative assets that can support Bitcoin adoption.
That contrasts with gold being recognized as the first level of asset under Basel III rules (a set of international standards for strengthening banking regulations), but Bitcoin has advantages over metals.
Unlike gold, Bitcoin could be held digitally self-hosted Wallets avoid intermediary risks, government seizures and monetary restrictions. Furthermore, their transactions and costs are driven by their non-physical.
To understand the relevance of these characteristics, this analysis recalls the 1934 gold law in the United States. This bans private possession and in 2022 Russia was unable to liquidate more than 2,000 tons of gold to its allies due to international sanctions. Bitcoin, by contrast, does not require physical infrastructure and is not detained by centralized parties.
“Impossibility from Bitcoin and gold on indiscriminate government seizures,” Coinbase says.
In Argentina, for example, previous governments imposed restrictions on both the dollar and gold to avoid capital escapes. According to Coinbase, these backgrounds They will strengthen Bitcoin utility as a truly global value reserve above the metals as well as the Phili money.
Even at Coinbase, Bitcoin offers a different value proposition as immunity sovereignty that acts on capital sanctions or management. It is positioned as a viable supranational account unit for international trade.
Currently, more than 80% of international trade is settled in dollars. However, Coinbase warns that this situation could turn into discomfort in many countries with dollar dependence as a middle-to-payment.
However, in exchanges, we do not see other fiat currencies gaining mass adoption as value reserves. This indicates that those who have surplus in their current accounts, that is, countries exported by important countries like the original, do not have enough global circulation to replace the dollar, but the euro faces institutional and financial restrictions that prevent it from assuming a major role.
“It leaves Bitcoin as perhaps the most serious candidate to envision this mantle,” he says. Although it can complicate the use of this asset in international commercial transactions, its growing capital will provide the most stable contribution and drive this scenario.
Coinbase highlights this It may lead to Long-term Bitcoin prices will rise very significantly. He acknowledges that the recruitment needed for this can be limited by the fact that many states are reluctant to step down from controlling his monetary policy.
Secondly, we can observe the prices of Bitcoin and El Oro over the past decade, which currently contribute to US$104,000 and US$3,100.
Bitcoin can offer diversification benefits
Despite its volatility, Bitcoin demonstrates that higher performance has been tailored to risk compared to US behaviour. In the case of Coinbase, this creates a Bitcoin case as the digital gold counterpart becomes more and more clear.
“Bitcoin tends to be more volatile than gold, but the chances of achieving a greater yield could complement gold’s stability and provide a balanced approach to maintaining wealth,” he emphasizes.
Therefore, he believes that incorporating assets such as Bitcoin and gold into his investment portfolio will provide the advantages of diversification during changes in the economic regime and stabilize yields.
As a result, he insists on it Potential capital flows to Bitcoin are largein his opinion, especially because “2025 could go down in history as the year when cryptocurrencies became truly popular.” It is based on growing equipment infrastructure to be exposed to these assets and achieve liquidity growth.
Anyway, there are over 15 million cryptographic effects, but we should consider that Bitcoin continues to dominate much of this market. Since its origins as the first cryptoactive in 2009, it has continued to dominate almost 50% of cryptocurrency capitalization.
Bitcoin too Supported the position as cryptoactive with more capitalization without interruptionAs reported by Cryptootics, the list of 10 Altcoins following them changed with each cycle.
A wide variety of cryptocurrencies and tokens that compete with each other drive this scenario along with a lack of sustained use. This places Bitcoin somewhere else from other altcoins.
In this context, Coinbase concludes that it accelerates with potential departures from traditional dollar dependence.Bitcoin is positioned as an important element in the future global financial panorama.
