In the changing landscape of the global economy, Crypto Assets are favored.

In May, the global economic landscape is witnessing new changes. The China-U.S. trade talks have made positive progress, alleviating market concerns about supply chain disruptions. U.S. economic data has shown strong performance, with April's non-farm payroll data exceeding expectations and a significant rebound in May's consumer confidence index. These favorable factors have driven the U.S. stock market and Crypto Assets market to rise.

However, the fiscal outlook in the United States still faces challenges. The 30-year Treasury yield has surged to nearly a 20-year high, raising concerns in the market about the U.S. debt issue. The new bill passed by the House of Representatives may further increase the ratio of U.S. debt to GDP, raising questions about fiscal sustainability. The Federal Reserve also continues to maintain a cautious stance, believing that inflation may be more persistent than expected.

In this complex economic environment, the Crypto Assets market has performed remarkably. Bitcoin rose by 12% in May, briefly surpassing the $112,000 high point. On the funding side, the U.S. Bitcoin ETF attracted a large inflow of funds, while gold funds faced capital outflows, indicating an increasing preference among investors for "digital gold."

The improvement of the regulatory environment has also brought benefits to the crypto assets market. The new chairman of the U.S. Securities and Exchange Commission stated that it will shift the regulatory model from "law enforcement-led" to "rules-based guidance." The U.S. and Hong Kong have successively promoted stablecoin regulatory bills, providing institutional support for the development of the digital currency market.

Traditional financial institutions are also starting to accept Crypto Assets. A major bank announced it will allow customers to invest in Bitcoin, marking the further integration of Crypto Assets into the mainstream investment sector. This trend may encourage more financial institutions to follow suit.

In the long term, the uncertainty of the U.S. fiscal situation may further enhance the appeal of Crypto Assets. Investors may view decentralized assets like Bitcoin as a tool to hedge against credit risk.

Despite facing challenges such as rising U.S. Treasury yields in the short term, cryptocurrency, especially Bitcoin's "digital gold" positioning, is increasingly gaining market recognition. Against the backdrop of changes in the global economic landscape and challenges to the traditional financial system, cryptocurrencies are becoming an important choice for investors to hedge risks and seek new opportunities.