Harvard Students Launch “New Bretton Woods Project.” Goal? Solve U.S. Debt Problem.
New Bretton Woods Project
During the Bretton Woods conference, a system was created that allowed the US to achieve the position of a superpower. In fact, it was there that the dollar was made an international currency. At that time, the USD was considered a “sound money”, linked to gold. It all ended in 1971, when President Richard Nixon “cut off” the USD from the dollar.
Now, Harvard students and graduates have announced the launch of the “New Bretton Woods Project.” Do they want to return to the roots of US greatness? The initiative is primarily aimed at creating stablecoins based on bitcoin. All in an effort to combat the global debt crisis.
The whole thing is to be based on the Bel2 network, which is Bitcoin’s layer 2. This will allow users to maintain control over their BTC while also creating a system for borrowing, lending, and issuing stablecoins.
The initiative comes at a crucial time when global debt is reaching record levels. By combining Bitcoin’s decentralized structure with the stability of the currency, the project offers a financial system that mitigates the risks of traditional economies
– say the creators of the “new Bretton Woods”.
US crisis
Today, many economists still shrug when they hear about the growing debt of the United States. They suggest that the growing national debt does not matter. They ignore the fact that as a result of this debt, the government is almost forced to cyclically devalue the currency, which in turn means subtle theft from citizens in the form of reducing the value of their savings.
The US national debt exceeded $35 trillion in July. One piece of information is enough to understand the scale of the problem. It took the US government about 200 years to get into debt for $1 trillion. At the current level of spending, about $1 trillion is added to the debt every 3 months! In turn, the interest on the debt alone exceeds the spending of the entire Department of Defense.
Some politicians suggest that the government’s salvation could be an investment in BTC. Senator Cynthia Lummis has proposed this. She claims that investing in bitcoins will help reduce the debt.
