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In a recent essay, Hayes focused on what he describes as the Federal Reserve’s evolving “love language,” a euphemistic acronym used to mask large-scale money creation, with the latest example being Reserve Management Purchases (RMP).
Hayes argues that RMP is functionally equivalent to quantitative easing (QE), even though policymakers insist otherwise. While QE involved the Fed buying longer-dated bonds, RMP centers on the purchase of Treasury bills, primarily from money market funds.
According to Hayes, this distinction is mainly cosmetic. In both cases, the Fed creates money out of thin air, enabling the Treasury to issue more debt and fund spending, which ultimately fuels inflation across financial assets and the real economy.
The BitMEX co-founder notes that money market funds hold roughly 40% of outstanding T-bills, far more than banks do, and that when the Fed buys those bills under RMP, the resulting cash does not simply sit idle. It either finances new Treasury issuance or flows into the repo market, thereby indirectly supporting the purchase of longer-dated bonds.



 Hayes contends that this allows the government to keep borrowing cheaply while quietly expanding liquidity.
Drawing on historical parallels, Hayes points to the post-2009 period, when QE helped propel stocks, gold, and Bitcoin out of what he calls the deflationary river Styx.
The entrepreneur believes a similar setup is now forming. Although Bitcoin has initially lagged gold since the launch of RMP, Hayes sees this as a temporary divergence rather than a contradiction of his thesis.
In Hayes’ outlook, Bitcoin is likely to consolidate between $80,000 and $100,000 until markets fully recognize that RMP is effectively QE. Once that realization sets in, he expects Bitcoin to rapidly reclaim previous highs near $124,000 and then accelerate toward $200,000, potentially as early as March.
Hayes adds that broader global easing, as other central banks respond to a weakening dollar, could further amplify this move.
