Treasury Bonds

Definition ∞ Treasury bonds are debt securities issued by a national government to finance its spending. They are considered among the safest investments globally, offering fixed interest payments over a specified term. These instruments play a crucial role in national debt management and monetary policy.
Context ∞ Treasury bonds are frequently referenced in discussions about macroeconomic trends and their influence on digital asset markets. Their yield serves as a benchmark for risk-free returns, impacting investor appetite for riskier assets like cryptocurrencies. Changes in treasury bond yields and issuance policies are closely monitored for their potential to affect liquidity and capital flows within the broader financial system, including the digital asset sector.