What size BTC allocation would the US Treasury need to have in the thirty year bond auction for a Trillion dollars, at the current rate, to make every investor on the planet sit up, piss their pants, and scream "BUY!"?

Replies (1)

if inflation in the base money supply increase on average 9%, and a thirty year bond is at 3%, ChatGPT calcs (which might be wrong, I dunno): Sure, let's recalculate using a final price for Bitcoin in 30 years of $10 million: Given: - \( P = \$70,000 \) (current value of Bitcoin), - \( A = \$10,000,000 \) (final value of Bitcoin in 30 years), - \( n = 30 \) years. We need to solve for the CAGR (\( r \)) using the formula: \[ A = P \times (1 + r)^n \] We rearrange this formula to solve for \( r \): \[ r = \left( \frac{A}{P} \right)^{\frac{1}{n}} - 1 \] Let's plug in the values: \[ r = \left( \frac{10,000,000}{70,000} \right)^{\frac{1}{30}} - 1 \] \[ r = (142.857)^{\frac{1}{30}} - 1 \] \[ r \approx 1.1034 - 1 \] \[ r \approx 0.1034 \] So, the CAGR (\( r \)) is approximately 10.34%. Now, let's recalculate the offset needed to counter the debasement caused by the 9% inflation scenario: \[ Offset = A - \text{Treasury Bond Value} \] \[ Offset = 10,000,000 \times 18,100,000 - 1,000,000,000 \] \[ Offset = 181,000,000,000 - 1,000,000,000 \] \[ Offset = 180,000,000,000 \] So, approximately \$180 billion worth of Bitcoin at \$70,000 per coin would be needed to offset the debasement caused by the 9% inflation scenario over the 30-year period with a final price of Bitcoin of $10 million. So, 2,571 Bitcoins approximately shame they'd have to do some work to get that much........