[DigitalToday reporter Yoonseo Lee] ETF portfolio manager Michael Gayed warned again of a possible global liquidity crisis and cited the yen, gold, oil, XRP and U.S. Treasuries as assets to respond to a crisis.

On July 8 (local time), blockchain media outlet U.Today reported that Gayed sees Japan as a potential catalyst for the latest market shock and argued that Asian currency instability and a reverse carry trade could amplify simultaneous selling pressure.

Gayed’s main argument focuses on a Japan-driven shift in capital flows. He has warned throughout 2026 of the risk of an Asian currency crisis, and he sees the structure of borrowing yen to invest in U.S. stocks as coming under strain. If the Bank of Japan raises rates to defend its currency, leveraged positions could be liquidated at once and the market could slide sharply in the process, he said.

In a social media post, he wrote, "Regulators will crash stocks to save bonds," and said investors should watch Japan’s reverse carry trade. He based that on a view that U.S. authorities will not allow a collapse in the U.S. Treasury market.

Gayed also said the oil factor could overlap. He expects that a rise in commodity prices in yen terms could pressure Japan’s import-dependent economy and that Tokyo could sell U.S. Treasuries more aggressively to plug deficits. That trend would increase pressure on the Federal Reserve and could ultimately force choices that prioritise bond-market stability over the stock market, he explained.

In the market, Gayed said utilities and REITs with defensive characteristics have shown relatively stronger performance than the broader market since July 2026. Still, he said that if fear intensifies, the core havens are likely to be gold and long-term U.S. Treasuries.

Among cryptocurrencies, XRP was also mentioned. Gayed said he is looking at the token not for XRP’s blockchain technology itself but in terms of international capital flows and liquidity allocation. If currency-market shocks grow, he said XRP could function like an alternative gateway that can quickly absorb international funds leaving risk assets.

The comments drew market attention because they put XRP in the same line as gold and oil. Gayed has previously issued repeated messages to the XRP community, but this time he linked the Japanese yen, oil and U.S. Treasuries as a single scenario and referred to them together.

The key question going forward is whether pressure around the yen and oil will actually spread into margin calls across financial markets. Gayed urged investors to watch policy in Tokyo and Washington, and the related flows into defensive assets, more closely than Wall Street indexes.

They will crash stocks to save bonds. And Japan is the mother fucking catalyst. The reverse carry trade. Watch this. Yen, Gold, Oil, XRP, and Treasuries. Like and repost if you understand this. Because if you don’t, your hamster will. Goodnight. pic.twitter.com/CUHPxc4j2s