Ken Griffin, CEO of Citadel, has raised concerns over gold’s sharp rise and its broader implications for the U.S. dollar’s role as a global safe haven, according to Bloomberg. Gold futures recently surpassed $4,000 an ounce, marking gains of more than 50% year-to-date.

The U.S. dollar has weakened alongside gold’s rally. The U.S. Dollar Index (DXY), which tracks the greenback against major currencies including the euro, yen, and pound, has declined roughly 10% in 2025, currently trading near 98.5.

Griffin told Bloomberg, “We’re seeing substantial asset inflation away from the dollar as people are looking for ways to effectively de-dollarize, or de-risk their portfolios vis-à-vis U.S. sovereign risk.” He added, “We’re definitely on a bit of a sugar high in the U.S. economy right now,” noting that equities remain near all-time highs amid a boom in artificial intelligence and high-performance computing.

The so-called “debasement trade” has returned to the spotlight, with investors flocking to hard assets like gold, silver, and bitcoin to hedge against monetary debasement—a process where excessive money creation erodes a currency’s purchasing power.

The economic backdrop remains uncertain. The U.S. government is in a partial shutdown, and markets widely expect rate cuts. According to the CME FedWatch Tool, there is a 92% probability of a 25 basis point cut at the Federal Reserve’s Oct. 29 meeting, lowering the federal funds rate to 3.75%–4.00%. Additional reductions could bring rates to 3.50%–3.75% by year-end.

Amid this environment, bitcoin has also surged, rising 9% in October and hitting a new all-time high of $126,000 on Monday.