Billionaire investor Chamath Palihapitiya issued stark warnings about the impending US debt crisis, prompting investors to seek safe-haven assets like Bitcoin and gold. In a recent podcast, Palihapitiya emphasized the potential negative repercussions on financial markets, including a possible US credit downgrade and shifts in investment behavior. His concerns are rooted in record-high money market fund assets as a sign of risk-off sentiment. Palihapitiya highlighted the nonlinear relationship between deficit spending and interest rates, which contributes to escalating debt burdens. He believes the current high deficit in government spending is driving up interest rates and creating significant challenges for policymakers.