US Treasuries Trashed Globally as Bessent's Iran Crypto Seizure Backfires Massively

追加: 2026-06-03

[00:00:00]So, this economic war is going global and it's getting nastier than ever before. Now, the world is truly exhausted by the war Iran.

[00:00:08]And the mixed messages coming off Washington is just making everything worse. Is the war ending or escalating?

[00:00:14]Nobody knows, and everyone on Earth deserves a straight answer. The United Nations have already weighed in with hard numbers. Global inflation will reach 3.9% this year. Global growth could fall by 60 basis points because of the conflict. Global oil prices are already up more than 40%. Fertilizer costs are over 30%. Buying food is going to get more expensive everywhere, and driving anywhere is becoming a luxury rather than just a basic necessity.

[00:00:46]Trump is truly living in a twilight zone here. Despite all of that, Trump is out here telling everyone that the US economy is doing awesome. He's touting some number, celebrating like everything is fine, but I don't know what's going on, especially with the number 69.

[00:01:04]>> We have a war going on in the economy as well. We have a war going on, and you know, today we just hit another number number 69 is all-time high today. And we have a war going on.

[00:01:16]>> Now, it gets even stranger. The latest jobs report suddenly showed a stunning jump in job openings. A 730,000 jump appeared out of nowhere. Now, economists call that a six sigma event. That means statistically, this is almost impossible. It's very rare compared to every other leading forecast. Either a miracle has happened or something is wrong in the US labor market, or the entire data model has completely broken down. How does a 730,000 jump in job openings happen at the exact same time tech layoffs are going through the roof?

[00:01:54]Make it make sense here. Nearly 150,000 tech workers have already been laid off this year, and projections put that number at 350k by the year's end. Those two data sets simply cannot be both true at the same time.

[00:02:09]Now, the BLS is claiming job creation came from professional and business services, but where exactly?

[00:02:16]US manufacturing is collapsing. The technology sector, which is supposed to be America's bright spot left, is cutting jobs at a record scale at a record pace. The numbers are not adding up. Things are not gelling.

[00:02:31]And the clearest signal of where global confidence actually sits is in the Treasury market. Now, much the largest dump of US Treasuries from oil importing emerging economies on record. Now, countries like Turkey liquidated 80% of their Treasury holdings just to get dollars to buy oil. Now, China was dumping for dedollarization reasons, but the common thread across every seller is the same story. They're urgently converting dollars into real physical resources because the dollar itself is becoming a hot potato nobody wants to hold for long.

[00:03:07]And here's something that should really be sobering for Washington.

[00:03:11]Even the European Central Bank, the ECB, is now publicly trashing US Treasuries as the world's top reserve asset that they have lost the crown. And when your closest major ally tells the world that gold is a better asset than your debt, you have a serious problem. And the numbers behind that statement is really, really striking. Now, according to the ECB's own report, gold now accounts for 27% of all global central bank reserve assets. At the same time, US Treasuries fell from 25% to just 22% of global reserves in a single year. Now, gold has convincingly and officially overtaken US Treasuries as the world's preferred reserve asset. And this is something we have been tracking, we've been talking about for a long time.

[00:03:59]The dollar might still be the dominant currency for global trade settlement. It is used widely around, but it's no longer the global asset of choice. The world is walking away because the value of the dollar itself is in question.

[00:04:15]Now, over the past 4 years, the dollar has lost over 12% of its value. Now, think about it. Interest rates stayed stubbornly high during the entire period, including today. There is an active war creating supposed safe haven demand, not forgetting the war in Ukraine. And the dollar still lost 12%.

[00:04:35]Global investors have made their verdict very, very clear. It is crystal clear.

[00:04:41]Now, the ECB President, Christine Lagarde, finally said the obvious public. She said, "Geopolitical tensions continue to drive strong central bank demand for gold." Translation, the world has watched the economic devastation caused by the war in Iran.

[00:04:58]They see the US spending enormous amounts of money with no victory in sight. And they're quietly moving their reserves into something tangible.

[00:05:07]Something that can't be sanctioned, confiscated, or debased.

[00:05:11]Now, the situation with Oman made everything even worse. Besson openly threatened Oman with sanctions for thinking of cooperating with Iran over Hormuz. Now, he threatened to cut them off from the dollar system entirely.

[00:05:25]Potential asset confiscation was implied.

[00:05:28]Now, the entire world heard that threat, and every country out there, they're watching and they're taking mental notes. It doesn't matter if you're a small neutral nation or long-time US partner.

[00:05:40]There's no immunity for you.

[00:05:42]And if Washington decides you're in the way, your assets might be at risk. Now, dollarization is quietly driving treasury selling in finance ministries from Ankara to Riyadh, all the way to Beijing. Now, it doesn't matter how hard Basson or Rubio tries to sell the US economy to the rest of the world, this is now extremely hard sell right now. And the harder they try, the less convincing it's going to sound. And a big shout-out to our sponsor today, Indigo Precious Metals. When it comes to buying gold and silver, I trust Indigo Precious Metals in Singapore. They have made investing in precious metals safe, fast, easy, and simple for both small- and large-scale buying. I've been stacking gold for over a decade now, and I've learned two things when buying. You want to buy authentic gold bullion, and you want to buy it at the lowest premium possible to stretch your dollars even further. And I'm glad to say I found both of these at Indigo Precious Metals.

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[00:07:20]>> We remain the world's sole global superpower, the most powerful country on Earth. We have the largest economy. We have the most formidable and powerful military ever known to man, by the way.

[00:07:30]Our dollar remains the reserve currency of the world. Our language is used extensively throughout the world to transact all sorts of business and many of our engagements.

[00:07:39]>> There is an old saying that applies perfectly here.

[00:07:43]Remember what Tywin Lannister said in Game of Thrones? Any man who must say he's the king is no true king. And watching US officials go around the world telling everyone how strong America is just reinforces how worried they actually are underneath.

[00:07:59]Now, the fundamental problems are too visible to hide. The mighty US military cannot break open Hormuz against Iran.

[00:08:08]The country Trump repeatedly claimed was finished, right? The entire navy is under the ocean, apparently.

[00:08:14]Now, meanwhile, the US economy is being propped up by deficit spending running above 6% of GDP.

[00:08:23]Now, these are not the characteristics of a dominant power operating from strength.

[00:08:28]The national debt situation is now at an alarming level.

[00:08:32]In March, public debt officially surpassed 100% of US GDP.

[00:08:38]The debt is now larger than the entire American economy. It's virtually unpayable in real terms. And as the war continues, inflation stays high, rates stay high, and the debt is only going to compound even faster and faster.

[00:08:54]Now, interest payments on the national debt are already running at 1.1 trillion dollars per year.

[00:08:59]But within just 10 years, a decade, that number could balloon to 2.5 trillion annually.

[00:09:05]And all it takes is for treasury yields to remain just 55 basis points above current projections. That's not a dramatic scenario. That's barely a rounding error in bond market terms. And remember, the Federal Reserve might be hiking rates in 2027. And this leads to a debt spiral that ends in default. Now, not an outright default. America doesn't need to do that. A default by printing money and destroying the value of the currency.

[00:09:33]Then Bessen made things dramatically worse. He went around publicly bragging about confiscating Iran's cryptocurrency holdings.

[00:09:42]Now, over a billion dollars in digital assets was seized, and he wanted the world to know about it pretty loud.

[00:09:48]>> We have seized about a billion dollars of their crypto. Just just outright grabbed the wallets. Some of the Some of them may be like typing in right now and realize They might not realize that their wallet had been grabbed. And we are working with our allies all over Europe to grab villas and houses and properties.

[00:10:08]>> was a catastrophic communications mistake. Why can't you just be silent about it? What Bessen actually told the entire world was this: Even if you hold digital currencies outside the traditional banking system, the US can still definitely find it.

[00:10:26]They can still trace it through the public blockchain ledger. They can still claim it. Nowhere in the Western financial system is truly safe from US reach.

[00:10:36]So, what does Iran do now? They're going to move faster into the Chinese system, the CIPS payment system. They're going to sell more oil in yuan.

[00:10:45]They encourage every country they trade with to do the same, especially with control over Hormuz.

[00:10:51]Now, the bragging about crypto seizure didn't weaken Iran, it just accelerated their pivot away from anything dollar connected. And the market data confirms that this is already happening. Not just with Iran, but the rest of the world.

[00:11:07]Now, CIPS hit a record 42,000 transactions in a single day. The value of those transactions cracked above 1.2 trillion yuan in one day alone.

[00:11:17]Now, every time the US demonstrates it will weaponize its financial system, more volume flows into the Chinese alternative.

[00:11:25]Bessen's bragging is going to make that happen faster, 100%.

[00:11:30]Now, as if the situation wasn't complicated enough, the trade war is still raging on.

[00:11:36]And the biggest economic loser in all of this is Europe. Now, the data tells us a story of an economy in severe structural decline.

[00:11:46]Now, Germany's industrial output dropped by dramatic 2.8% in March alone.

[00:11:51]This is a direct consequence of the energy crisis caused by the Iran war.

[00:11:56]Manufacturing in Germany cannot compete when energy costs are this elevated and unpredictable. Now, things are so bad that the EU is now weighing breaking their own fiscal rules. They're considering allowing member governments to spend additional 0.3% of GDP on energy-related support measures. And that's on top of the power subsidies already here.

[00:12:19]Europe is losing the manufacturing competition to China badly as well. And the root cause goes back to losing cheap Russian energy back in 2022 and 2023. And since then, the EU's trade deficit in goods have been running between 300 and 400 billion euros with China every single year.

[00:12:41]That is an enormous capital drain flowing out of Europe into Chinese manufacturing companies.

[00:12:48]And if Europe can't sell competitively to China or to the rest of the world, the only market left is the United States. But even that bastard just told European leaders to sit down, be quiet, and to accept the tariff punishment. To sell less to America, but buy more American products at the same time.

[00:13:07]>> Europe, the whole EU, EU is willing to pay 15% tariff and take down the tariffs on us. It's an incredible deal.

[00:13:15]>> Now, think about what that actually means for Europe. They can't go back to Putin for cheap gas. That's politically impossible. And to build out renewable energy alternatives, they need Chinese solar panels and components. but guess what? They tariff those as well. So, every door has more or less been closed.

[00:13:34]And the worst part is that a lot of this pain was entirely self-inflicted.

[00:13:38]Now, the decision to shut down Germany's nuclear power plant stands as one of the most expensive policy decisions or mistakes in modern economic history.

[00:13:48]Now, according to JP Morgan, Germany's energy prices in 2024 were 25% higher than they would have been if all those nuclear plants stayed operational. Now, 25% for an energy-intensive manufacturing economy, that difference is existential. It's night and day. If our electricity bills rose by 25%, just between you and me, we would be rather upset. Now, Europe is now trapped between American tariffs and Chinese competition and Russian energy sanctions. There's really no clean exit available. Now, if we pull back and look at the complete picture that's forming, it's a disaster. The UN is warning of nearly 4% global inflation, and the ECB is publicly moving away from US Treasuries towards the gold.

[00:14:37]This is one big disaster, including Bassam bragging about crypto seizures.

[00:14:43]That's only going to accelerate the dollarization.

[00:14:46]And through all of this, Trump still doesn't have a straight answer about the war. One day, negotiations are progressing. The next day, new demands keep getting added. And now reports keep emerging of Trump demanding written nuclear concessions from Iran. Iran keeps saying no, and this cycle is only going to repeat in the weeks or maybe the months to come.

[00:15:08]And the global economy is paying the price of this indecision every single day. It's just insane. Allies are suffering. Neutral neutral countries are also being clubbered. So, the war in was supposed to project US strength.

[00:15:23]Instead, he has exposed every structural weakness in the American economic, financial, and geopolitical system. So, let me know what you think in the comments below. Will global central banks keep dumping treasuries and replace them with gold? And will Scott Bessent's decision to brag about seizing Iranian crypto go down as one of the biggest own goals around? Let me know what you think in the comments below.

[00:15:49]Stay safe. Smash the like button and subscribe as we navigate through these crazy times.