Arthur Hayes says a $60 billion Fed cap is Bitcoin’s next liquidity trigger and needed for a price surge
Arthur Hayes is waiting for the Fed to expand the FIMA repo facility before adding more aggressively to risk assets like Bitcoin. FIMA lets foreign monetary authorities borrow dollars against Treasury collateral, which can fund yen intervention without selling Treasuries. Hayes says the key trigger is a rule change: raise the current $60 billion counterparty cap and broaden eligibility, ideally to include entities like Japan’s GPIF. He then wants actual usage to appear in the Fed’s H.4.1 data, which still showed zero foreign-official repos for the week ended Aug. 5. Recent Japanese yen intervention may already have totaled about $95.6 billion over two days, highlighting potential demand for dollar liquidity. If FIMA usage rises, Hayes expects a temporary Fed balance-sheet expansion that could support Bitcoin, gold, and miners.
