BREAKING STORY FOR 2025

Amid domestic political turbulence and geopolitical tensions, record numbers of wealthy Americans are moving wealth to other shores.

Since the recent election, outlets from CNBC to Barron's have covered the growing trend of wealthy Americans moving assets offshore:

Potential Article Ideas and Angles

1. Potential for Capital Controls or Restrictive Financial PoliciesKey Concern:
If an administration decides to limit money flowing out of the country—often done during economic crises—wealthy individuals could find their overseas transfers restricted/ taxed.
High-net-worth individuals (HNWIs) fear getting locked into depreciating assets, or being unable to transfer funds freely if the government imposes currency controls or exit taxes.Supporting Precedents:
- India (2016): Demonetization and abrupt currency changes led to difficulty moving assets abroad.
- China: Strict capital controls exist; wealthy citizens circumvent them in creative ways, underscoring the desire to protect assets from potential seizure or devaluation.Reference:
Institute of International Finance (IIF) on capital flow restrictions: iif.com/research
Example of recent talk about US capital controls (discussed in the context of the 2008-2009 crisis): Investopedia on Capital Controls

2. Heightened Tax Uncertainty—Targeting the WealthyKey Concern:
In times of populist governance (whether authoritarian or otherwise), the wealthy can become scapegoats—facing sudden new wealth taxes, inheritance taxes, or “patriotic millionaires” levies. Even the rumor of new taxes on large estates or capital gains can prompt wealthy individuals to preemptively shift significant assets abroad.Potential Scenario:
Trump has floated ideas before about “tax cuts,” but populist pressures could also lead to unexpected shifts if the administration needs revenue or wants to punish perceived opponents.
Politically motivated moves against certain high-income “coastal elites” is a fear in a polarized environment.Reference:
Tax Foundation’s analysis of wealth tax proposals: TaxFoundation.org
Historical look at how wealth taxes emerged in post-war periods in Europe:
European Tax Studies, 2019, available via SSRN

3. Weaponization of the IRS or Selective AuditsKey Concern:
Fears that the IRS (or similar agencies) could be used to target political enemies or wealthy critics under an authoritarian government. In a highly polarized environment, the ultra-wealthy often feel under a microscope. If the domestic tax system is perceived to be used for political intimidation, wealthy Americans may choose to keep assets out of reach of the U.S. government’s immediate grasp.Historical Example:
The IRS “targeting scandal” during the Obama years (which was different in scope) still left a psychological imprint, suggesting that tax authorities can become politicized.Reference:
Government Accountability Office (GAO) reports on IRS audit rates for high-income earners: GAO.gov (search “IRS audit rate trends”)
Congressional hearings data on potential IRS abuses in past administrations.

4. Risk of Asset Seizure or Account Freezes Under “National Emergencies”Key Concern:
The U.S. president’s emergency powers (via the National Emergencies Act and related statutes) allow broad authority over economic measures. A president could freeze assets for reasons ranging from national security to civil unrest. The wealthiest are hyper-aware that in times of crisis (economic or civil), governments often consolidate monetary control—offshore accounts are perceived as safer.Precedents:
Executive Order 6102 (1933): Roosevelt’s gold seizure—though a unique situation, it remains a classic example of how government can assert claims on personal wealth.
Modern usage of emergency economic powers—though typically directed at foreign adversaries—illustrates the scope of possible action.Reference:
U.S. Code Title 50: War and National Defense, detailing presidential powers.
Cornell Law School

5. Geopolitical Isolation & Dollar Dominance at RiskKey Concern:
An authoritarian-leaning administration may enact unilateral trade or foreign policies that alienate allies and accelerate de-dollarization (e.g., BRICS nations bypassing the dollar). If the U.S. dollar’s reserve currency status erodes due to aggressive or isolationist policies, wealthy Americans may hedge by holding assets in other currencies or gold overseas.Reference:
International Monetary Fund (IMF) data on currency composition of official foreign exchange reserves (COFER): IMF.org
BRICS De-dollarization Initiatives: Potential moves by Russia, China, India, Brazil, etc., as reported by Reuters.

6. Fear of “Digital Asset” CrackdownsKey Concern:
An authoritarian U.S. government might impose harsh regulations or outright bans on cryptocurrencies or other digital assets to maintain control over capital flows. If wealthy Americans rely on crypto as a hedge or want to keep a portion of their holdings in decentralized assets, they may shift them to countries with more crypto-friendly laws (e.g., Switzerland’s “Crypto Valley,” Singapore)Reference:
China’s crypto crackdown (2021) as a real-world parallel: BBC coverage
Cambridge Centre for Alternative Finance studies on global crypto regulations: ccaf.io

7. Wealth Migration & Second PassportsKey Concern:
Authoritarian governments may impose exit taxes or complicated processes to deter money leaving. If Americans sense those policies are coming, they might preemptively set up offshore trusts or second residencies. If an administration threatens to restrict travel, impose an exit tax, or complicate dual citizenship, it can spark an immediate wave of money movement to protect assets outside U.S. jurisdiction.Reference:
Henley & Partners’* “Global Citizenship Program” ranking: henleyglobal.com
News of record spikes in U.S. citizens seeking foreign citizenship or expatriation:
The Federal Register publishes quarterly data on Americans who renounce citizenship: federalregister.gov