The United States central depository financial institution volition inject at least $425 billion of nonexistent money into the economy by the middle of next month.

In a argument released Dec. 11, the Federal Reserve confirmed information technology would ramp up so-called repurchase, or "repo," operations on key dates over the new twelvemonth catamenia.

Fed to "impress" 3x Bitcoin market cap in weeks

The time of year required extra assurances for banks, the Fed claims, with repo operations designed to support their twenty-four hours-to-day operations.

"The Open Market Trading Desk (the Desk) at the Federal Reserve Depository financial institution of New York has released the schedule of repurchase agreement (repo) operations for the monthly period from December thirteen, 2022 through January 14, 2022," the statement reads.

The Fed and then confirms:

"In accord with the most recent FOMC directive, the Desk will carry repo operations to ensure that the supply of reserves remains ample and to mitigate the risk of money market pressures around year end that could adversely affect policy implementation."

Repo offerings on Dec. 31 and January. 2 volition be $150 billion. By the Jan. 14 deadline, the minimum the Fed expects to generate is $425 billion.

"Everything's fine"

While common, such moves involve conjuring vast new liquidity based on cipher backing — essentially money press without physically press any money.

Critics, especially in Bitcoin (BTC) circles, have long highlighted the policy as an example of the failure of central banks to "manage" economies.

The argument forms a central tenet of Saifedean Ammous' popular volume, "The Bitcoin Standard," in which he argues that the fall of nations and empires stems from the fall of a currency that is non allowed to operate complimentary of manipulation.

Similar calls in favor of Bitcoin surfaced in September during a previous repo spike.

Commenting on the about recent Fed announcement, Bitcoin advocate known as Rhythm on Twitter noted that $425 billion is over three times the size of Bitcoin'due south market cap.

"Everything is fine though," he ironically summarized.

Equally Cointelegraph previously reported, U.S. national debt reached $23 trillion in Nov — around $12 million for every Bitcoin that volition ever exist. That figure is now at $23.12 trillion, according to online monitoring resources U.S. National Debt Clock.