Sarah Suleiman
--
Trump’s crypto czar David Sacks says stablecoin bill could create trillions of dollars in demand for US Treasurys
In an interview on CNBC's Closing Bell Overtime late Wednesday, White House crypto czar David Sacks said he expects the GENIUS Act stablecoin bill to pass, potentially unlocking trillions of dollars for the U.S. Treasury.
Asked how soon stablecoins could start driving dollar demand, "I think it'll be immediate," Sacks said. "We already have over $200 billion in stablecoins — it's just unregulated. I think that if we provide the legal clarity and legal framework for this, we could create trillions of dollars of demand for our Treasurys practically overnight, very quickly."
Even ahead of the bill, stablecoin issuer Tether
USDT -0.03%
has demonstrated considerable demand, recently nearing $120 billion in U.S. Treasury securities, surpassing Germany as the 19th largest global holder, according to U.S. Department of Treasury statistics.
Sacks' remarks echo Bitwise Chief Investment Officer Matt Hougan, who said on Tuesday that the legislation could pave the way for a multi-year crypto bull run, projecting stablecoins would grow into a $2.5 trillion market "in no time."
However, not everyone is happy about the legislation, with some warning that it could create a backdoor toward a central bank digital currency. Democratic Sen. Elizabeth Warren also criticized the bill for overlooking the Trump family's connections to World Liberty Financial's USD1 stablecoin. Last week, Democratic Sen. Richard Blumenthal also alleged that the Trump-linked DeFi project could allow foreign governments and others to enrich and compromise the president.$BTC
$XRP
$SOL
In an interview on CNBC's Closing Bell Overtime late Wednesday, White House crypto czar David Sacks said he expects the GENIUS Act stablecoin bill to pass, potentially unlocking trillions of dollars for the U.S. Treasury.
Asked how soon stablecoins could start driving dollar demand, "I think it'll be immediate," Sacks said. "We already have over $200 billion in stablecoins — it's just unregulated. I think that if we provide the legal clarity and legal framework for this, we could create trillions of dollars of demand for our Treasurys practically overnight, very quickly."
Even ahead of the bill, stablecoin issuer Tether
USDT -0.03%
has demonstrated considerable demand, recently nearing $120 billion in U.S. Treasury securities, surpassing Germany as the 19th largest global holder, according to U.S. Department of Treasury statistics.
Sacks' remarks echo Bitwise Chief Investment Officer Matt Hougan, who said on Tuesday that the legislation could pave the way for a multi-year crypto bull run, projecting stablecoins would grow into a $2.5 trillion market "in no time."
However, not everyone is happy about the legislation, with some warning that it could create a backdoor toward a central bank digital currency. Democratic Sen. Elizabeth Warren also criticized the bill for overlooking the Trump family's connections to World Liberty Financial's USD1 stablecoin. Last week, Democratic Sen. Richard Blumenthal also alleged that the Trump-linked DeFi project could allow foreign governments and others to enrich and compromise the president.$BTC
$XRP
$SOL
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.
1
0
Explore the latest crypto news
⚡️ Be a part of the latests discussions in crypto
💬 Interact with your favorite creators
👍 Enjoy content that interests you
Email / Phone number