What are Treasury bills (T-Bills)?

Treasury bills are short-term debt securities issued by the government. The government needs money. And T-Bills help attract it. It seems there is no more reliable instrument — the government itself stands behind them.

What are treasury bills?

Essentially, these are debt obligations with a term of less than one year. There are different durations: 4, 8, 13, 17, 26, and 52 weeks. They are sold through auctions. Interestingly, by October 2025, American Treasury bills offer quite a bit: 4-week bills — 4.08%, 13-week bills — 4.003%. Yet the 52-week bills are somehow less — 3.64%. Strange, right?

How do treasury bills work?

They are sold for less than face value. Here's an example. Face value — 1000 dollars. Price — 950. You pay less and get more. Upon redemption — a whole thousand. The difference of 50 dollars — your profit.

The minimum entry is just 100 dollars. Not so much! You can buy through TreasuryDirect or regular brokers.

Impact on Cryptocurrency Markets

T-Bills seem to be far from crypto. But there is a connection. When the markets are shaken, people seek safety. They rush to bills. Capital flows away from risky assets. Crypto is among them. It seems logical — the demand for bills increases, interest in cryptocurrencies decreases. And their prices may decline. Not always, of course. But it happens.