Krugman has this to say about it:
For those not familiar with how financial markets work, US Treasuries are the ultimate safe asset, used as collateral for everything. Even a hint that some Treasuries might not be honored could bring everything to a screeching halt
Musk and Trump are both in the habit of stiffing people they owe money. If markets even suspect that this habit will extend to Treasuries, God help us
Burning the US down to divvy it up amongst themselves so they can run their own little technofiefdoms is all but their stated goal. They’re talking about network states and crypto-resever currencies, and salivating at the prospect of having entire populations that they control outright to be the grist for their techno-futurist fantasies of being the sole owners of the cyberpunk dystopian mega corps.
“We are proud to announce that we have created the Cyberpunk future from ‘Please Don’t Create This Cyberpunk Future’.”