Monday Market Update: Tariffs, A Tool to Shift America from a Fiat-Fueled High Time Preference Disaster to a Sustainable Bitcoin Future?

Monday Market Update: Tariffs, A Tool to Shift America from a Fiat-Fueled High Time Preference Disaster to a Sustainable Bitcoin Future?

Publication Date
February 1, 2025
Published
Featured

Let’s face it, the U.S. economy has become a high time preference disaster, driven by relentless fiat debasement, reckless deficit spending, and a Wall Street casino addicted to cheap money.

This is the inevitable consequence of a monetary system detached from scarcity—one where central planners print at will, distorting markets and widening the wealth gap beyond anything seen in history. Fiat money is the root cause, enabling short-term thinking, systemic fragility, and financial nihilism that prioritizes quarterly earnings over generational wealth.

This unsustainable paradigm is crumbling. But transitions are never clean. Some things will break. Some markets will bleed. That’s the price of reorienting America away from its fiat-fueled delusions toward a reality based on low time preference, sound money principles—a reality where discipline, savings, and long-term investment take precedence over financial engineering and speculative mania.

Enter Tariffs: A Catalyst for Economic Restructuring

The Trump administration has signaled and now decided to deploy tariffs as a means to restructure the U.S. economy. Whether intentional or not, tariffs serve a key function: they slow down globalization’s unchecked velocity, force the U.S. to rebuild domestic industry, and impose discipline on an economy that has been sprinting on fiat fumes for too long. In doing so, they help recalibrate incentives away from short-term arbitrage and toward sustainable value creation—a necessary step in a transition toward a Bitcoin standard.

Yes, some asset prices will take a hit. That’s a feature, not a bug. The artificial excesses of the fiat economy must be unwound for realignment to occur. Wall Street’s obsession with liquidity-driven growth at the expense of Main Street is unsustainable. Bitcoiners understand this better than anyone: real value comes from work, production, and proof-of-work—not from infinite leverage, money printing, and asset bubbles.

Bitcoin vs. Fiat Casino: The Endgame for Capital Allocation

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For investors, this shift presents a clear choice: continue playing the Fed’s rigged fiat casino or position capital in the only truly scarce asset that will survive the unwind—Bitcoin. The altcoin casino, propped up by the same easy-money speculation that fuels equity markets, will not survive in a world where leverage unwinds, liquidity dries up, and discipline returns. Fiat games and Ponzi tokens will implode together.

Bitcoin, on the other hand, thrives in a world that prioritizes low time preference thinking. It benefits from the very forces that will be unleashed as America restructures—capital fleeing unstable fiat-driven markets, supply chains realigning, and investors seeking immutable, censorship-resistant stores of value amid growing economic uncertainty.

Final Thoughts

I wasn’t sure if Trump would actually lean into systemic change, given the policy choices of his first term. But the team around him now (Bessent, Miran, Lutnick, Rubio, etc.) signals a deeper understanding that this time has to be different. Tariffs are just the first move in what will likely be a volatile but necessary restructuring. What comes next is the real question. Will this administration take the final step and acknowledge what Bitcoiners already know? That there is no sustainable path forward without fixing the money?

The fiat system is failing. Altcoins are just another symptom of that disease. Bitcoin is the cure.

Let’s see what happens next.

Thoughts?

Published by: Zeropoint.group