For Krueger, a Bitcoin -based standard is a guarantee of greater predictability for the economy.
The Vietnam War is an example of the almost unlimited monetary control of a government.
Analyst Fred Krueger has indicated that a Bitcoin -based standard (BTC) could force governments to maintain balanced budgets, generating multiple economic benefits.
From its perspective, a broader adoption of Bitcoin could limit the financing of war conflicts, cut expenses in inefficient government programs, reduce the intervention of the State in the economy, control inflation and provide greater predictability to the financial environment.
Economic history offers several examples of the risks of a monetary system without limits. When governments can print money without restrictions, public spending tends to grow rapidly, which generates fiscal deficits and inflationary pressures. An emblematic case is the US experience during the Vietnam War (1955-1975).
And, in that conflict, The United States assumed a huge expense to finance military operationswhich adjusted by current inflation exceeds The billion dollars. At the same time, the administration of Lyndon B. Johnson implemented ambitious social programs, which further increased public spending.
To finance these commitments without significantly raising taxes, the Government resorted to increasing tax deficits, and the Federal Reserve (FED) increased the money supply, that is, it printed money. This was possible because, at that time, the dollar was partially backed by the gold pattern under the Bretton Woods system, although there was some flexibility to emit currency.
It is precisely to avoid scenarios such as Vietnam’s that Bitcoin’s scarcity principle is relevant. Unlike Fíat money, that governments can issue almost without limits, BTC has a defined maximum supply – 21 million units will be created.
This characteristic would limit the state’s ability to finance deficits through the printing of money, forcing the authorities to prioritize spending and maintain a fiscal balance, while offering greater stability and predictability to the economy.
Bitcoin’s role in macroeconomic and fiscal stability
Another example that reinforces Krueger’s perspective is the current situation of US debt. In 2025, the USa national debt of the US 37 billion dollarsequivalent to more than 120% of GDP, a level comparable to that of the postwar period, but in a context of relative economic stability.
The truth is that, according to US media, In the last decade the country has increased Your debt in approximately one billion dollars every five months. This accelerated growth reflects persistent fiscal deficits and a massive expense, especially during the Covid-19 pandemic.
Given this situation, referents of the cryptocurrency industry, such as Michael Saylor, CEO of Strategy, agree that Bitcoin could play a key role in the financial stability of the US high national debt.
Krueger’s vision and Saylor’s perspective point to a system in which Bitcoin’s scheduled scarcity encourages fiscal responsibility, limits unnecessary expense and offers a more stable and predictable framework for the economy. Although the implementation of such a standard would require time and significant reforms, Bitcoin has not stopped conquering milestones that were believed unthinkable. Time will speak.
