Newsmax Talks Live about XRP Clearing the National Debt

A recent discussion explored whether cryptocurrency could serve as an unconventional path to address the United States’ $34.8 trillion national debt.

The idea was featured in a Newsmax segment shared by crypto enthusiast XRP King (@JOLLY__R0GER), who highlighted how government investment in XRP could, in theory, erase the deficit.

The video’s argument centered on the government’s debt level, framing cryptocurrency as a potential mechanism to offset it. It compared today’s situation to an earlier point in Bitcoin’s history, when $348 would have purchased 1.7% of its total supply, noting that the same amount of Bitcoin today would be enough to pay off the national debt.

The hypothetical scenario proposed that the government could have done the same for major public programs such as Social Security, using crypto’s growth to backstop national finances.

How the Proposal Would Work

In the video, the speaker suggested that the government could theoretically allocate “one fifth of our annual tax revenue,” roughly a trillion dollars, to purchase XRP. At its current price of about $2.5 and a market capitalization of approximately $144 billion, the claim was that such an investment could multiply the coin’s value by eight, generating an estimated $8 trillion in return.

The argument extended further, proposing that the government could sell the asset at its peak to buy back after a market crash, and repeat the cycle to pay off the national debt.

The reasoning presented rested on the idea that cryptocurrency, unlike traditional currencies managed by central banks, derives its worth from what participants believe it to be worth.

It compared this to a high-end luxury item that costs little to make but sells at a premium due to demand. The video maintained that because crypto’s value is market-driven, large institutional participation could magnify its price exponentially.

XRP’s Role in the Debate

The Newsmax segment also discussed the role of government involvement in crypto markets. It referenced Ronald Reagan’s statement that “if it moves, regulate it. If it stops moving, subsidize it. If you can’t do either, ban it,” adding that the only way for the government to influence cryptocurrency would be to participate in it directly through ownership and investment.

Newsmax presented XRP as a logical candidate for such an experiment, and the asset fits due to its established presence, liquidity, and connection to financial institutions.

Experts have argued for years that Ripple’s escrow could settle the U.S. national debt if the asset grows significantly. By leveraging XRP’s global settlement capabilities, the U.S. could stabilize its balance sheet and reinforce its influence over digital finance.