As President Donald Trump’s global tariff policy sends shockwaves through financial markets, Arthur Hayes, co-founder and former CEO of BitMEX, is embracing the chaos—declaring that it’s “good for Bitcoin.”
In a bold post on X (formerly Twitter), Hayes wrote, “I LOVE TARIFFS,” arguing that while the short-term pain may be real, it sets the stage for medium-term gains for Bitcoin and gold.
“Global imbalances will be corrected, and the pain papered over with printed money, which is good for BTC,” Hayes wrote.
Trump’s Tariff Bombshell and Market Fallout
Trump’s sweeping executive order, signed on April 2, imposed a 10% baseline tariff on all countries, with higher rates for targeted nations like China and the EU. Trump dubbed the move “Liberation Day,” framing it as an effort to protect American industry.
The announcement caused immediate market panic. On April 3, the Nasdaq 100 recorded its largest single-day point drop in history, with major indices across the board plunging sharply.
Hayes: “Tariffs Will Weaken Fiat, Fuel Bitcoin Rally”
In a series of follow-up posts and a blog entry, Hayes expanded on his bullish thesis for Bitcoin. He pointed out that:
- A weaker U.S. dollar, along with foreigners selling off U.S. equities, will likely drive capital toward Bitcoin.
- Stricter tariffs on China could lead to a deliberate weakening of the Chinese yuan (CNY).
“With a 65% effective tariff, China could let CNY slide past 8.00,” he speculated—opening the door for Chinese investors to hedge with BTC.
Hayes also highlighted the bond market’s reaction: the 2-year Treasury yield dropped following the tariff news.
“The market is telling us the Fed will cut rates soon and possibly restart QE to offset the negative economic impact,” he said.
“Be patient, be nimble, be liquid.”
Bitcoin’s Outlook: Technology + Liquidity = Bullish
In his blog post, Hayes boiled Bitcoin’s performance down to two factors: tech stability and fiat liquidity.
“The tech is sound, and there are no major developments on the horizon. That means Bitcoin’s price is now driven entirely by expectations around fiat money supply.”
While equities may continue to struggle, Hayes believes Bitcoin is well-positioned to climb, supported by the likelihood of monetary easing.
Industry Voices Echo Hayes’ Optimism
Other industry leaders echoed Hayes’ cautious optimism. In a comment to Crypto News, Gadi Chait, Investment Manager at Xapo Bank, noted:
“In the short term, crypto reacts negatively to inflation fears. But Bitcoin’s long-term trajectory remains undeniable.”
Gus van Rijckevorsel, CEO of Ultra gaming platform, said the economic ripple effects of the tariffs could last through Q2 and beyond, but signs of recovery are already emerging.
James Toledano, COO at Unity Wallet, added that while crypto is not immune to macro shocks, Bitcoin’s resilience is showing.
“BTC is hovering around $83.7K, down 4.4% this week. But it’s holding up better than traditional markets.”
Toledano believes crypto could reclaim its role as an alternative asset as confidence in fiat erodes.
“It’s too early to call Bitcoin a full safe haven—but it’s getting closer.”
