Global Negative-Yielding Debt Reaches $17 Trillion, Bitcoin Looks Attractive

Global negative-yielding debt has now officially reached $17 trillion and the investors are getting more nervous now and starting to consider non-traditional assets such as Bitcoin. In the reports that we have in the altcoin news below, we find out more about the entire situation.

The investors are now in fear since they saw the global negative-yielding debt is shifting the entire global economy. According to Bloomberg reports:

 “The global stock of negative-yielding debt is now in excess of $17 trillion as rising market volatility lends extra force to this year’s unprecedented bond rally.”

The investors are no longer seeing the future in the global traditional economy because of the yield curve that got inverted. This curve is only formed when the interest rates on short-term bonds get higher than the interest rates that are earned by the long-term bonds. Although now, these inverted yield curves predict recessions but since 1955 every time when a recession has occurred in the US, the yield curve has inverted. The global uncertainties have also increased because of the Chinese-US trade war and this is impacting the confidence of the investors in the world economy future. The Forbes explained:

 “Thirty percent of all investment-grade securities now bear sub-zero yields, meaning that investors who acquire the debt and hold it to maturity are guaranteed to make a loss.”

As the economy gets weaker and weaker, some of the observers predict that the investors will turn their attention to assets such as Bitcoin. Bitcoin remained robust and healthy and the interest in investing in this untraditional asset continues to gain momentum. The bitcoin futures contracts trading is reaching high numbers at the Chicago Mercantile Exchange Group and the CME Managing director Tim McCourt remarked:

 “This is an exciting time for bitcoin futures, as well as for cryptocurrency assets in general. There is a lot of broad investor interest in cryptocurrency, as well as growing interest in a variety of applications for cryptocurrencies and blockchain technology.”

As noted in the latest cryptocurrency news, the companies are getting hard into the crypto market. the New York Department of Financial Services is providing a license now that allows Bakkt to operate as a Limited Liability Company and the company will also start trading physically-settled bitcoin futures.