Passed by the Senate on Sunday, President Joe Biden’s sweeping cash injection piles fresh debt on the country’s existing mountain but will supply eligible Americans with $1,400 payouts.
Given Bitcoin’s increased public profile this year compared to the last major stimulus payout of $1,200 in March 2020, expectations are high that at least some of the money will flow into BTC.
The figures, now widely repeated online, speak for themselves. According to online monitoring resource Bitcoin Stimulus, the combined value of the two previous checks — $1,200 and $600 — would be over $10,250 as of March 4 had each recipient immediately purchased Bitcoin.
Put another way the first $1,200 stimulus bought 0.18 BTC at the time of receipt, while the $600 check bought 0.02 BTC. This time around, despite the USD amount being larger, at the time of writing, it would only be worth 0.028 BTC.
Long term, meanwhile, dollar weakness weighs heavy on the minds of investors given both its supply increase and the other impacts associated with the highly controversial economic response to the virus.
The devaluation of the purchasing power of the U.S. Dollar… has only just begun...
