The Debasement Trade discussion has become a popular topic on the financial news outlets. I thought I knew what it meant, but I wanted to dig deeper to understand better. A query using AI produced this:
The debasement trade is a financial and investment strategy (or market narrative) that gained significant attention in 2025 and into 2026, particularly on Wall Street and among macro investors.
It refers to investors shifting capital away from fiat currency-denominated assets (especially U.S. dollar-based ones like cash, U.S. Treasuries, and other traditional fixed-income securities) and into “hard assets” or scarce, non-dilutable alternatives. This move is driven by fears of currency debasement—the gradual erosion of a fiat currency’s purchasing power through excessive money printing, large fiscal deficits, debt monetization, and aggressive monetary/fiscal policies by governments and central banks.
I have several thoughts on the topic.
First, I think gold and silver will continue to gain in value. In my newsletter portfolios, I have added more exposure to precious metals. Since my strategies always seek income, the gold and silver ETFs offer attractive yields and pay monthly dividends.
It would seem that Bitcoin and other cryptocurrencies should benefit from the debasement trade; however, over the last six months, cryptocurrencies have dropped in value. I could see that, at some point, investors might start including cryptos as a move away from the dollar. However, they haven’t yet shown any signs of a sustained move higher. Here is the six-month chart of gold, silver, and Bitcoin:
From my experience, bond funds have long been a good place to put a dent in your wealth. The nature of these funds makes them dangerous as interest rates change. There are very few bond funds that will generate solid positive returns for investors. The Infrastructure Capital Bond Income ETF (BNDS) is one I recommend to my subscribers.
As U.S.-based investors will live, operate, and invest in a dollar-based economy. It is not a viable strategy to completely withdraw our investments from dollar-denominated securities. The debasement investment strategy can only be applied to a small portion of an investor’s portfolio. The easiest way to do so would be to get exposure to gold and silver. The Kurv Gold Enhanced Income ETF (KGLD) and the Kurv Silver Enhanced Income ETF (KSLV) use option strategies to pay monthly dividends (in cash), plus they are managed to outperform the underlying precious metals.
Oil Is Making a Huge Move. 90% of Investors Will Buy the Wrong Stocks.
When oil makes its next big move after tomorrow's OPEC+ meeting, hundreds of energy companies will be destroyed just like 2014, when 300 went bankrupt. Tim Plaehn has identified the three stocks built to surge while the rest collapse. He is revealing his #1 pick free with 701% returns and climbing. Click here to see which side you're on.
