Today I saw a bold claim, let me briefly summarize it:

Tether obtains US dollars and issues an equivalent amount of USDT, after which 80% of the main dollar reserves are used to purchase U.S. Treasury bonds...

In this process, USDT is created out of thin air, the US dollar has actual purchasing power, and has become an asset;

In other words, 1 dollar actually turns into 1 USDT and an equivalent U.S. Treasury bond;

Here comes the problem:

If USDT does not enter the circulation of the U.S. economy and only operates in the cryptocurrency market, then this mechanism has no issues...

But if USDT enters the circulation of the U.S. economy, and some Americans can easily use USDT for payments, then it is equivalent to Tether itself taking dollars out of the market and returning them to the market in the form of USDT;

At the same time, there is also 1 dollar being used to purchase Treasury bonds...

I wonder if you have noticed the problem?

This is equivalent to creating 2 dollars of currency with 1 dollar!!!

The same logic is similar to the financial operations of Alipay and Ant Financial back then, with cycles plus multiple leverages...

Due to the existence of dollar stablecoins, while 1 dollar creates 2 dollars of currency, the new 1 dollar may also partially turn back into a stablecoin, creating even more new liquidity...

This could lead to a stablecoin issuing company becoming a small central bank... or a mini Federal Reserve...

Thinking further becomes chilling; if Trump vigorously promotes the stablecoin strategy to allow the domestic economy to accept stablecoin liquidity, then with just a few simple steps, a large amount of dollars circulating internally in the U.S. can be converted into stablecoins, while also using these dollars to purchase Treasury bonds, completing the ultimate debt monetization!

In that case, stablecoins and dollars would become the new mainstream currency, circulating within the U.S. without causing inflation, and the dollars in the hands of the American people would indeed turn into Treasury bonds!

The U.S. would also become the first country to widely adopt stablecoins, which is in line with what Trump said about "ensuring blockchain innovation occurs in the U.S....

I wonder how everyone views this bold claim?

Is this an effective "debt monetization" plan?