Share this article
Tariffs, Trade Tensions May Be Positive for Bitcoin Adoption in Medium Term: Grayscale
Tariffs contribute to stagflation, and this benefits scarce assets such as gold and bitcoin, the report said.
Updated Apr 10, 2025, 1:24 p.m. Published Apr 10, 2025, 12:14 p.m.
What to know:
- Trade tensions could be positive for bitcoin adoption, Grayscale said.
- Tariffs can lead to stagflation, and this benefits scarce assets such as gold and bitcoin.
- The U.S. dollar's role as the world's single reserve currency may be challenged, allowing room for new reserve assets, the asset manager said.
Tariffs and trade tensions could ultimately be positive for bitcoin (BTC) adoption in the medium term, asset manager Grayscale said in a research report Wednesday.
Higher tariffs result in stagflation— stagnant economic growth coupled with inflation — which is negative for traditional assets, but positive for scarce commodities such as gold, the report said.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
Bitcoin is considered hard money, akin to digital gold, and is viewed as a modern store of value, the report noted.
Cryptocurrencies surged on Wednesday following President Donald Trump's announcement of a 90-day pause on tariffs for countries that haven't retaliated against the U.S.
"Trade tensions may put pressure on reserve demand for the U.S. Dollar, opening space for competing assets, including other fiat currencies, gold, and bitcoin," Grayscale said.
Historical precedent suggests that dollar weakness and above-average inflation may persist, and bitcoin is likely to benefit from such a macro backdrop, the asset manager said.
"A rapidly improving market structure, supported by U.S. government policy changes" could help broaden bitcoin's investor base, the report added.
Read more: Trump Administration Wants Weaker Dollar and That's Positive for Bitcoin: Bitwise
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Bitcoin Rebounds to $93K From Post-Fed Lows, but Altcoins Remain Under Pressure
Downward pressure on bitcoin is losing steam, with the market stabilizing but not yet out of the woods, said one analyst.
What to know:
- Bitcoin rebounded from a sharp early selloff on Thursday to trade above $93,000 shortly after the close of U.S. stocks.
- The late-day gain in bitcoin came alongside a rebound in the Nasdaq from big morning losses; the tech index closed with just a 0.25% loss.
- Downward pressure on bitcoin is losing steam, said one analyst, but the market is not yet out of the woods.
Top Stories
