weaker USD, means appreciation of FX currencies and since many cross-border bank loans are collateralized with a local currency - solvency ratios improve, thus increasing balance sheet capacity for more USD credit this means an increase in broad money

Illya Gerasymchuk 2025-08-20 20:35

i covered more this aspect of QE in my thread about how to use yield spreads to reason about future Bitcoin price and cycles you can read it here: https://illya.sh/threads/@1755595543-1.html