PANews, August 9 - According to (Fortune), stablecoin issuers like Circle and Tether are absorbing more U.S. Treasury bonds than most countries, which could reshape the U.S. economy. Tether's latest disclosure shows that it holds over $100 billion in U.S. Treasury bills, surpassing countries like the UAE and Germany.
However, while supporters of cryptocurrency believe that stablecoins will help solidify the dollar's dominance globally, critics warn that even a small share of stablecoins in the overall market could lead to financial instability in the banking sector, as stablecoins could siphon off funds from bank deposits, and since deposits are a necessary liquidity for loans, stablecoins are likely to threaten the credit system.