It is backed by just the confidence in the government. That alone. Hopefully, it will hold.
Exactly. I used to say, in the early 70’s to my fellow high school students, that if the government didn’t honor your US Savings bond, that would be the least of your problems.
That’s the thing here. If government money collapses, it is a “lagging” indicator, and it may be the least of your problems. If Bitcoin collapses, it’s just another market collapse.