The United States fed will be printing at least $425 billion of new dollars this January, which is around 3 times Bitcoin’s (BTC) marketcap. This injected money will be entering the economy by the middle of next month.

The Federal Reserve confirmed In a statement released December 11th that they would be ramping up their operations over the start of the new year.

Fed to print 3 times Bitcoin’s market cap within weeks

The Federal Reserve claims that this time of year requires additional assurances for banks. By this they were referring to their repo operations, which are designed to support the fed’s daily operations.

The statement from the Federal Reserve reads: “The Open Market Trading Desk (the Desk) at the Federal Reserve Bank of New York has released the schedule of repurchase agreement (repo) operations for the monthly period from December 13, 2019 through January 14, 2020,”.

The Fed followed by stating:

“In accordance with the most recent FOMC directive, the Desk will conduct repo operations to ensure that the supply of reserves remains ample and to mitigate the risk of money market pressures around year end that could adversely affect policy implementation.”

Repo offerings occurring on December 31st and January 2nd will value around $150 billion. The Fed expects to generate over $425 billion by their deadline of January 14th.

How does the fed get paid?

These actions by the federal reserve are fairly common. Although such moves involve injecting vast amounts of new liquidity into the economy. And these newly created funds have zero backing. In a sense meaning that money is being printed, without physically printing any money.

Those in the Bitcoin (BTC) communities, have often pointed to these policies as an example of how central banks are failing to manage economies.

A Bitcoin advocate known as Rhythm commented on this recent Fed announcement. He was the first to note that this $425 billion is over three times the size of Bitcoin’s current market cap. He ironically followed this by summarizing “everything is fine though,”.

The U.S. national debt has reached $23 trillion in November. Meaning around $12 million for all 21 million Bitcoin that will ever exist. As of December that figure is around $23.12 trillion (U.S. National Debt Clock.)

