Picking up on @HODL ‘s sharp…

Sooly⚡️سولي 🇱🇧🇧🇪🇦🇪🇦🇴 — Fri, 06 Jun 2025 23:38:54 GMT

Picking up on HODL ‘s sharp take on BitBonds. They aren’t just the new junk bonds. They’re a confession of where fiat is headed.

The state needs convexity. Bitcoin provides it. BitBonds are the vehicle.

What starts as a workaround becomes a benchmark. Junk bonds did it. Mortgage-backed debt did it. BitBonds will too. if Bitcoin survives the volatility.

But this isn’t just about finance. It’s about nation states survival imo,

The fiat system is drowning in its own promises. Yields are rising. Buyers are disappearing. And BitBonds is a hybrid bond wrapped around Bitcoin. A last-ditch play to roll sovereign debt with digital collateral.

Here’s how it works: governments issue bonds with ultra-low coupons. 90% of the proceeds go to state spending. 10% buys Bitcoin. Investors get fixed income plus a piece of BTC upside. If Bitcoin rallies, it’s a convex windfall. If it collapses, governments still win: borrowing at a discount compared to traditional rates.

The pitch is seductive: “safe” Bitcoin exposure, no custody headaches, all within a regulated wrapper. Ideal for pension funds, family offices, and bureaucrats pretending they understand innovation.

But every financial product with asymmetric payoff begins the same way: hype, leverage, and someone eventually left holding the bag.

We’ve seen this movie: junk bonds in the ’80s, mortgage-backed securities in the 2000s, ESG debt in the 2010s. Each began as a workaround, not a solution. Each ended with a “correction” and survivors who shaped the next cycle.

If pilot programs succeed, BitBonds could hit $2T by 2030. They’ll reshape how governments borrow, how allocators think about #Bitcoin, and how systemic risk hides in plain sight.

#BitBonds are not a financial innovation. They’re a monetary confession. The dollar needs Bitcoin more than Bitcoin needs the dollar.

Watch what they do, not what they say.
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