U.S. public debt reached $31.27 trillion by the end of Q1 2026, surpassing the nominal GDP of $31.22 trillion over the past 12 months, resulting in a debt-to-GDP ratio of 100.2%. This development provides a new macroeconomic backdrop for Bitcoin's scarcity and non-sovereign asset narrative. However, CryptoSlate notes that the debt level alone does not directly translate into Bitcoin demand, as factors like liquidity, interest rates, ETF fund flows, and risk appetite must also be considered.