{"id":746552,"date":"2026-08-22T21:46:16","date_gmt":"2026-08-22T21:46:16","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/746552\/"},"modified":"2026-08-22T21:46:16","modified_gmt":"2026-08-22T21:46:16","slug":"tesla-and-spacex-ceo-elon-musks-40-trillion-u-s-bankruptcy-nightmare-is-suddenly-coming-true","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/746552\/","title":{"rendered":"Tesla And SpaceX CEO Elon Musk\u2019s $40 Trillion U.S. ‘Bankruptcy’ Nightmare Is Suddenly Coming True"},"content":{"rendered":"

Elon Musk, the SpaceX and Tesla chief executive who rode their soaring valuations to become the world\u2019s first trillionaire this year, is seeing his $40 trillion U.S. “bankruptcy” nightmare<\/a> come true\u2014sending the bitcoin price soaring<\/a>.<\/p>\n

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Musk, who has quietly begun a financial revolution at SpaceX<\/a>, has repeatedly warned the U.S. is hurtling toward bankruptcy, going as far as to declare the U.S. dollar and other fiat currencies \u201chopeless,\u201d saying last year that he\u2019d prefer his vaporware America Party to use bitcoin instead<\/a>.<\/p>\n

Now, as BlackRock suddenly flips on bitcoin<\/a>, billioniare investor Ray Dalio has said he fears a devastating U.S. debt crisis could come as soon as next year\u2014and advised people to buy bitcoin and gold to protect themselves.<\/p>\n

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Forbes\u2018We\u2019re Going To Increase\u2019\u2014Treasury\u2019s Bessent Just Dropped A Massive Bitcoin Price BombshellBy Billy Bambrough<\/a>\"Tesla,<\/p>\n

Tesla and SpaceX billionaire Elon Musk has warned that the spiraling $40 trillion U.S. debt pile could be about to collapse the U.S. dollar\u2014something some think could send the bitcoin price higher.<\/p>\n

Getty Images<\/p>\n

\u201cMy guess, which I suppose will be a bad one, is that [a debt crisis] will come in three years, give or take two, if the course we\u2019re on is not changed,\u201d Dalio, who wrote about the U.S. debt trap in his 2025 book How Countries Go Broke: The Big Cycle, posted<\/a> to X, adding he thinks we should be “very” worried unless spending is cut, tax revenue is increased and interest rates are lowered.<\/p>\n

\u201cAs general advice, I suggest diversifying well in asset classes and countries that have strong income statements and balance sheets and are not having great internal political and external geopolitical conflicts, underweighting debt assets like bonds, and overweighting gold and a bit of bitcoin. Having a small percentage\u2014maybe 10%-15%\u2014of one\u2019s money in gold can reduce a portfolio\u2019s risk, and I think it would also raise its return.\u201d<\/p>\n

Dalio revealed last month on The Diary of a CEO podcast that he currently has 1% of his portfolio in bitcoin.<\/p>\n

Dalio\u2019s warning comes after U.S. federal-government debt passed $40 trillion for the first time this week\u2014just as the Treasury said it will buy back more long-term government bonds in a desperate attempt to contain soaring borrowing costs.<\/p>\n

“We\u2019re going to increase the size of the buyback,” Treasury secretary Scott Bessent told<\/a> CNBC. \u201cI would note that it could be more than the $4 billion per issue. We have a big toolkit, so we\u2019ll see.\u201d<\/p>\n

Bessent added that there was \u201cnothing magic \u200babout the $40 trillion figure,\u201d predicting that the U.S. \u2060would grow its way out of the debt despite GDP growing at just 1.5% in the second quarter, missing expectations of around 2%.<\/p>\n

\u201cOur message to our allies, our trading partners, is that global growth is the way to take care of this mountain of debt,\u201d Bessent said, whose comments were seized on by the bitcoin and crypto crowd as evidence<\/a> of more money printing to come.<\/p>\n

The combined debt levels and the Treasury\u2019s desperate attempts to bring down bond yields have fed fears that the U.S. will not be able to escape the debt death spiral without a technological \u201cHail Mary.\u201d <\/p>\n

\u201cWe are 1,000% going to go bankrupt as a country, and fail as a country, without AI and robots,\u201d Musk said on the Dwarkesh Podcast in February. \u201cNothing else will solve the national debt. We just need enough time to build the AI and robots to not go bankrupt before then.\u201d<\/p>\n

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ForbesThe Fed\u2019s Bitcoin Nightmare Is Suddenly Coming TrueBy Billy Bambrough<\/a><\/p>\n

The bitcoin price has surged this week but remains well below its 2025 peak as SpaceX and Tesla’s chief executive Elon Musk’s U.S. “bankruptcy” fears suddenly come true.<\/p>\n

Forbes Digital Assets<\/p>\n

For now, bitcoin and crypto investors are betting the bitcoin price will continue to benefit from the return of the so-called debasement trade, which helped the gold price rocket to an all-time high last year.<\/p>\n

\u201cEarlier this week, investors were reminded of the U.S.\u2019s difficult fiscal situation as federal debt topped $40 trillion with no indication that there is any plan to slow its growth,” David Morrison, senior market analyst at Trade Nation, said in emailed comments, pointing to Covid, tax cuts, wars and $1.2 trillion worth of interest payment this year as accelerating the massive build up of debt.<\/p>\n

\u201cBitcoin has, along with gold and silver, also benefitted from news that the U.S. Treasury will more than double its purchases of longer-term government bonds, as yields on 10 and 30-year Treasuries hit multi-year highs last week. The story here is that investors are looking for long-term safety as government debt across the developed world continues to grow. This was brought into stark relief as U.S. federal debt pushed above $40 trillion.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Elon Musk, the SpaceX and Tesla chief executive who rode their soaring valuations to become the world\u2019s first…\n","protected":false},"author":2,"featured_media":746553,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[779,46580,84,42746,995,59,412,1216,56,54,55],"class_list":["post-746552","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-bitcoin","tag-bitcoin-price","tag-business","tag-crypto","tag-elon-musk","tag-gb","tag-spacex","tag-tesla","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/746552","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=746552"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/746552\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/746553"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=746552"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=746552"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=746552"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}