#Macroeconomics

Zhu Su: U.S. Debt Crisis Could Push Corporate Bonds On-Chain, Slash Stablecoin Demand

Zhu Su, co-founder of Three Arrows Capital, has proposed that a potential U.S. debt crisis could catalyze the migration of corporate bonds onto blockchain networks. He argues that if the dollar experiences rapid devaluation, investors will abandon non-yielding stablecoins in favor of yield-bearing tokenized assets like corporate bonds. By issuing debt directly on-chain, corporations could potentially access global capital more efficiently while bypassing traditional financial intermediaries. This shift would fundamentally alter the role of stablecoins, which currently serve as primary liquidity and store-of-value assets within the crypto ecosystem. While the concept of tokenized debt is already being explored by institutions like the European Investment Bank, Zhu suggests that macroeconomic pressure will accelerate this transition. The thesis highlights a growing intersection between traditional debt markets and decentralized finance, emphasizing the search for yield in an inflationary environment. Ultimately, this scenario suggests a future where blockchain-based securities compete directly with fiat-pegged stablecoins for investor capital.

bitcoinworld.co.in·3h ago