The Lucrative Business of Stablecoin Empire: Why the U.S. is Eager to Pass the Stablecoin Act
In 2023, Tether generated an astonishing profit of $14 billion with a team of just 150 people. Even more startling is that its holding of $125 billion in U.S. Treasury bonds has made it the 18th largest holder of U.S. debt globally — this is the core reason why the U.S. is eager to pass the Stablecoin Act.
Analysis of the Lucrative Model of Stablecoins
Fundraising: Attracting institutions to deposit dollars in exchange for stablecoins with the selling point of "anti-inflation"
Fund Operation: Investing the custodied dollars in risk-free assets like U.S. Treasury bonds to earn returns
Double Charging: Charging a 0.1% minting/redeeming fee
This "sure-win" business model is regarded as Wall Street's ideal money printer.
Market Size and Future Outlook
Currently, the size of USDT has reached $172 billion, and USDC has a size of $60 billion. With the passage of the bill, it is expected that:
• More compliant issuers will enter the market
• Market size will expand geometrically
• The value of collateral assets like Bitcoin will be reassessed
Strategic Positioning of Bitcoin
From ETF approval to stablecoin legislation, Bitcoin has completed its identity transformation:
Forming a fundamental distinction from traditional cryptocurrencies
Becoming a core component of new financial infrastructure
Short-term corrections do not change the long-term appreciation trend
Investment Advice
Seize every opportunity during deep corrections to continuously increase holdings in Bitcoin. In the historical process of financial system reconstruction, Bitcoin is transitioning from a risk asset to a strategic asset.
