A former US Treasury secretary warned of a potential collapse in US national debt and called for contingency plans.

CoinFeed reported on April 17th, citing Cointelegraph, that former US Treasury Secretary Henry Paulson warned in an interview with Bloomberg that US authorities should develop contingency plans for a potential collapse in demand for US Treasury bonds, the impact of which would be "malign." He stated the need for an "emergency broken window plan," highly targeted and short-term, ready to be activated in the event of a crisis. Currently, the US Treasury market is worth approximately $31 trillion, with government debt exceeding $39 trillion, and the 10-year Treasury yield at 4.3%. For the crypto market, a crisis in the Treasury market could trigger a shift of funds to alternative stores of value such as Bitcoin or gold. However, 63% of Tether's reserves, the world's largest stablecoin issuer, are in US Treasury bonds, and 10% are in overnight reverse repurchase agreements.