Hayes Sees $60 Billion Fed Cap as Bitcoin's Next Liquidity Trigger

Arthur Hayes believes that a $60 billion Federal Reserve limit is Bitcoin's next liquidity trigger. He wants to see this cap raised or removed before adding more aggressively to risk assets, including Bitcoin.

In his August 11 essay, Hayes focused on the Foreign and International Monetary Authorities Repo Facility (FIMA), which allows approved foreign official accounts to raise dollars against US Treasury collateral temporarily.

Hayes has already positioned for a rebound in liquidity by keeping more dollars on hand until the Fed revises FIMA's rules. He wants broader eligibility, including entities like Japan's Government Pension Investment Fund (GPIF), and the removal of the $60 billion cap.