Hey Capitalists:

The Golden Age is going digital. Despite the markets being down yesterday, Bitcoin surged as the US government moves decisively to establish the new digital rules. Even the big banks are starting to warm up to it.

And by the way: PolitiBrawl Newstand has evolved into The Capitalist! Financial news and politics for the Golden Age of America

Let’s break it down for you:

Bitcoin Booms (and even Wall Street is noticing)

Bitcoin just smashed through another ceiling, hitting a record high above $111,000, and it’s making waves in the financial world. This surge isn’t just about numbers—it signals growing confidence in crypto as a legit asset, especially with big players and new policies shaping the market. 

• New All-Time High: Bitcoin soared to $111,931.54 during midday trading topping its previous record from January 20, 2025.

• Optimism on U.S. Regulation: Growing excitement about pro-crypto policies under the Trump administration, like potential advisory councils or a national Bitcoin reserve, is boosting investor confidence.

• Macro Economic Factors: A drop in U.S. inflation to 2.3 percent and expectations of Federal Reserve rate cuts have sparked institutional interest, driving Bitcoin’s breakout.

• JPMorgan’s Shift: Jamie Dimon announced at the bank’s annual investor day that JPMorgan Chase will now allow clients to purchase Bitcoin, marking a significant policy change for the largest U.S. bank.

• Industry Trend: This move follows other major financial institutions like Morgan Stanley, which started offering Bitcoin ETFs to clients, showing crypto’s growing acceptance in traditional finance.

• Diverging from Stocks: Unlike its usual tie to tech-heavy markets like the Nasdaq, Bitcoin’s rise comes despite a U.S. stock market dip, hinting at its role as a hedge against traditional market instability and its emergence in to a class of it’s own.

Trump’s “Project Stargate” just got a major boost from it’s OpenAI partnership

President Trump has teamed up with some major players to kick off a massive AI project called Stargate UAE, and it’s kind of a big deal. This is about boosting AI innovation, creating jobs, and keeping the U.S. and its allies ahead in the global tech race. 

• What’s Stargate UAE? It’s the first international piece of the $500 billion Stargate Project, a huge AI infrastructure initiative, now being built in Abu Dhabi with a 5GW data center campus set to launch in 2026.

• Who’s Involved? Trump’s brought in OpenAI, along with tech giants like Nvidia, Cisco, Oracle, and UAE’s G42, to build advanced AI tech and data centers.

• What they are saying: "By establishing the world’s first Stargate outside of the U.S. in the UAE, we’re transforming a bold vision into reality," OpenAI CEO Sam Altman told Fox News Digital.

• Why the UAE? After Trump’s recent Middle East trip, the UAE secured this deal as part of a broader push to strengthen U.S.-UAE tech ties, with $200 million in commercial deals signed.

• Big Investments: OpenAI’s putting in big bucks, with a 1GW compute cluster in Abu Dhabi and a dollar-for-dollar investment into the U.S. Stargate project, aiming for $1.4 trillion in U.S. economic impact.

• Job Creation and Tech Leadership: The project’s expected to create thousands of jobs and solidify U.S. and UAE leadership in AI, focusing on data centers and industrial tech like the Internet of Things.

• Global AI Strategy: This is part of OpenAI’s “OpenAI for Countries” initiative, helping nations build their own AI capabilities alongside the U.S., with the UAE as the first partner.

“Stablecoins” are coming, what are they and where are they going?

David Sacks, Trump’s crypto advisor, is pushing this legislation, called the GENIUS Act, which aims to regulate stablecoins—think of them as digital dollars whose value don’t bounce around like Bitcoin. This could be a game-changer for how we pay for things online and even how the government funds itself. 

• Stablecoin Surge: The bill, known as the GENIUS Act, is set to regulate stablecoins, which are already worth over $200 billion but lack clear rules. Sacks says it could unlock “trillions” in demand for U.S. Treasuries practically overnight.

• Bipartisan Backing: It’s gaining traction in the Senate, with 15 Democrats joining Republicans to clear a key vote, ensuring it can dodge a filibuster and is likely to pass soon.

• Economic Boost: Sacks calls it a “national economic strategy” that could make payments faster and cheaper while keeping the U.S. dollar dominant in digital finance.

Buy Now, Pay….Never? Concern rises after Klarna’s horrific numbers drop

The "buy now, pay later" trend that’s been popping up everywhere is super convenient for snagging stuff without paying upfront, but a recent article from Fox Business  dives into its dark side and why it’s causing some serious headaches for consumers. With inflation and high interest rates squeezing wallets, a lot of folks are struggling to keep up with these payments.

• Klarna’s Struggles: Klarna, a major player in the buy now, pay later (BNPL) space, saw its losses double in Q1 2025 compared to the previous year, even as its user base grew, due to rising consumer defaults.

• High Default Rates: Klarna reported a 17% credit loss rate, meaning many borrowers are failing to repay their BNPL loans, highlighting the risks of these services.

• Economic Pressures: Persistent inflation, high interest rates, and resuming student loan payments (since October 2023) are pushing consumers to rely on BNPL for financial flexibility.

• Overspending Risks: Experts warn that BNPL services encourage overspending, as they make purchases feel more affordable, but late fees pile up if payments are missed.

• Easy Approvals, Big Problems: BNPL loans are easy to get approved for, but this can lead to consumers taking on more debt than they can handle, per LendingTree’s chief consumer finance analyst.

• Wider Use, Wider Impact: BNPL is expanding beyond retail into sectors like travel and healthcare, amplifying its potential to cause financial strain if misused.