Marc Rowan on CNBC Squawk Box basically says there is no alternative to US debt markets for capital allocators. He assertively, even condescendingly states that China can’t do anything else with their capital other than participate in US Treasury markets.

Many of us believe that Bitcoin stands poised to act as a liquidity sponge for (some of) that excess capital. Neutral reserve asset that rises above geopolitical posturing.

The challenge becomes the ‘Impossible Trinity’ and the fact that Bitcoin represents the free flow of capital. So governments and central banks will have to choose either (1) fixed exchange rates for their currency or (2) independent monetary policy …

What would China prefer? The ability to make their own monetary policy or a fixed exchange rate of their currency.

Right now China uses capital controls to mostly achieve both. If they choose to allocate towards bitcoin China will have to choose.

Interesting choices soon facing central banks & currency issuing governments.