Scott Bessent's Support for Cryptocurrencies and the Potential of Stablecoins in the USD System
In an interview on the X platform, US Treasury Secretary Scott Bessent emphasized that President Donald Trump's support for cryptocurrencies, especially stablecoins, could strengthen the US dollar's position in the international market. Stablecoins are seen as a potential tool to mitigate global financial risks. Analysts predict that they could become one of the largest buyers of US Treasury bonds, thereby strengthening the US dollar. Bessent believes that crypto has the potential to become a key factor in maintaining the long-term dominance of the US dollar.
Stablecoin Policy and the Future of the Cryptocurrency Market
Just a day before the stablecoin bill passed the US Senate, the bill aims to establish clear national regulations for stablecoin issuers, along with licensing and compliance standards. The House of Representatives will decide whether to adopt the Senate bill, or propose new legislation, as the Financial Services Committee did earlier this year. President Trump has made it clear that he wants the legislation to take effect by August. In this context, cryptocurrencies, especially stablecoins, are seen as a strategy to strengthen the US's leadership in the digital age.
Stablecoin Market Expected to Explode, According to Bessent
Major financial groups such as JPMorgan Chase, Bank of America and many reputable voices predict that the stablecoin market could reach a value of trillions of dollars in the near future. Bessent predicts that within just 3 years, the market capitalization of stablecoins backed by USD could exceed 2 million USD, a 10-fold increase from the current level of about 240 billion USD, according to data from The Block.
It’s not just about crypto, he stressed; it’s about building a new financial infrastructure for the global economy, built on the strength of the US dollar. Market leader Tether is the most obvious example, but US banks will take the lead in expanding their global influence, reshaping the global digital payments network.
The Potential of US Stablecoins in Global Economic Strategy
According to Bessent, US stablecoins could become the foundation of global digital payments, helping to popularize the US dollar, increase demand for Treasury bonds, and expand US financial influence on the internet. This development is seen as paving the way for a transparent, secure, and flexible digital financial ecosystem.
Political Reaction to Biden's Crypto Policy
Bessent has not been shy about criticizing the Biden administration’s crypto policies, arguing that regulators during this period have been overly “obstructive” and even trying to destroy the crypto ecosystem. Biden’s department has been accused of ignoring innovation, creating uncertainty, and driving companies, talent, and capital out of the country.
In this context, the Trump administration has shown a more positive attitude, willing to cooperate with the crypto industry to build a suitable regulatory regime that both protects consumers and promotes innovation. Many crypto advocates in the Trump administration have contributed to making the United States a global center for digital asset innovation.
Source: https://tintucbitcoin.com/trump-supports-digital-money-enhancement-for-usd-cards/
Thank you for reading this article!
Please Like, Comment and Follow TinTucBitcoin to stay updated with the latest news about the cryptocurrency market and not miss any important information!
