Treasury Secretary Yellen repeats warning of US debt default

U.S. Treasury Secretary Janet Yellen said in a letter: May 22nd Warn of default within 10 days at the shortest.

Insolvency of bills

In a letter to Congress, Yellen wrote:

“…if Congress fails to raise or suspend the debt ceiling by early June, the Treasury will likely be unable to meet all of its government obligations, possibly as early as June 1. .”

Yellen previously said it was impossible to give an exact date when the Treasury Department might not pay government bills. He said the Treasury Department is now considering additional information for forecasting.

Yellen didn’t use the word “default,” but the failure to meet government debt is generally considered a default.

Debt ceiling negotiations need to be resolved

Yellen has called on Congress to act to resolve the debt ceiling issue. Now, President Joe Biden and congressional leaders are trying to negotiate spending cuts that could raise the debt ceiling and prevent defaults, but the Biden administration has applied some to large cryptocurrency investors. support the elimination of tax loopholes

Yellen indirectly referred to these negotiations, noting that last-minute solutions could hurt the economy at the consumer, business and government levels.

However, some cryptocurrency investors are optimistic about the prospect of a US default, as the downturn in the mainstream economy could spark interest in cryptocurrencies.

An article in which Treasury Secretary Yellen repeatedly warned of US debt defaults first appeared on CryptoSlate.

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