Author Robert Kiyosaki has renewed his preference for scarce assets, including bitcoin, gold, silver, and select real estate, after characterizing expanded U.S. Treasury debt buybacks as quantitative easing.
Writing on social media, Kiyosaki linked the policy update to inflation risks and a declining U.S. Dollar Index, warning that cash savers face a loss of purchasing power.
Treasury Buybacks and Market Response
The U.S. Treasury announced an increase in liquidity-support buybacks for nominal securities in the 10- to 20-year and 20-to-30-year maturity ranges. The decision doubled certain long-term buyback operations from $2 billion to at least $4 billion, effective from September 9 through November 4. The announcement followed a spike in long-dated yields, with the 30-year Treasury reaching 5.34% on August 18 before easing to 5.184%.
While both programs involve government securities, Treasury buybacks and quantitative easing operate through different institutions and serve distinct purposes. The Treasury funds repurchases using debt sale proceeds and existing cash in its general fund, replacing one security with another rather than introducing new money into circulation. Quantitative easing, conversely, involves large-scale asset purchases deployed by a central bank as monetary policy.
Focus on Scarce Assets and National Debt
Kiyosaki's comments coincided with total U.S. public debt crossing $40 trillion, according to the Treasury's Debt to the Penny dataset. He continues to argue that government debt and currency weakness threaten conventional savings, advising investors to look to assets such as bitcoin, gold, and silver to preserve value.
