On November 19, New Hampshire approved the first municipal bond backed by Bitcoin, allowing digital assets to enter the traditional debt market in an institutional manner for the first time. The emergence of this structure not only provides enterprises with new financing tools but also marks the preliminary recognition of the collateral value of Bitcoin by the traditional financial system. If replicated by more states in the future, #BTC will truly transition from a speculative asset to financial infrastructure.

But the risks also exist. The high volatility of BTC means that these bonds inherently possess more complex clearing and margin call mechanisms. Centralized custody and an unclear regulatory framework may also affect their sustainability. The acceptance level of traditional bond investors towards such innovative structures is still unknown.

At a deeper level, this is more like a stress test of the financial system. The market is trying to answer a key question: when TradFi begins to embrace digital assets, are we ready to withstand the price fluctuations, regulatory games, and structural risks that come with it? This step is significant, but the road is bound to be challenging.
#BTC #Crypto