$PEPE $SUI $XRP Looking at the figure of the US debt reaching $37 trillion by early 2026, with an average debt per person of $110,000. Many are starting to worry: will US debt become the next "financial nuclear bomb"?

But this logic is actually too simplistic.

**Why is the probability of US debt defaulting almost nonexistent?**

First, the dollar has a natural advantage of dimensionality reduction—it is the global settlement and reserve currency. The Federal Reserve can print money to pay its own debts; other countries simply can't do this. This isn't news, but it is the fundamental reason why US debt won't default.

Second, look at market reactions. In early 2026, US debt auctions are oversubscribed by 2.5 times. Major capital investors are still aggressively buying, indicating that US debt remains the most solid credit asset in the eyes of global investors. No one is truly afraid of US debt defaulting.

There is also a deeper factor—the "too big to fail" nature of US debt. If it defaults, the global financial system would collapse instantly, with enormous costs. This asymmetry makes the debt ceiling a mere number game, with politicians repeatedly raising the limit.

**What are smart money doing?**

While the public is still anxious about a US debt default, institutional whales are already rushing to buy high-yield long-term bonds (like TLT) to lock in returns. Once the rate cut cycle in 2026 is confirmed, these bonds will release huge paper gains. This is the information gap between professionals and retail investors.

**What should we really be cautious about?**

US debt may not explode, but the dollar's creditworthiness is continuously eroding. "De-dollarization" is accelerating, and global funds are flowing into alternative assets like cryptocurrencies and RWA. This is the long-term reallocation of liquidity.

Instead of betting on a US debt default, it's better to understand why it "won't explode"—it is precisely this non-default attribute that triggers the next major asset reallocation. What are your thoughts?