The US dollar is currently standing at a crossroads, exploring lower value realms at the moment. With analysts predicting a new lower price threshold for the US dollar, the USD has no way out, considering the strict Trump tariff regime that continues to batter the USD, ushering in the onset of de-dollarization again. There have been multiple incidents in the past where countries around the world have attempted to block the USD usage either by exploring alternatives or by bolstering the usage of their local currencies. To curb the US dollar’s rapid decay, the US government has sought a new weapon, a new strategy that could ultimately end up eradicating de-dollarization.
Also Read: De-Dollarization Changes Trade Rules: 40+ Countries Ditch US Dollar
What Is This Secret Weapon All About?
The US government is leaving no stone unturned in launching a strategic regulatory infrastructure to launch stablecoins. A bill touted as the GENIUS Act is currently awaiting pending approvals that directly address how stablecoins can be embedded in the US administrative sector, helping the government embed cryptocurrencies in its day-to-day regime. This act specifically caters to the stablecoins and how they can be used to gain the US dollar supremacy that has been lost to an extent due to the rising US dollar ditching processes.
Anthony Scaramucci, founder of SkyBridge Capital, in one of his recent interviews, shared how stablecoins are poised to be a game changer for the world of finance, bolstering the demand for USD once they are launched in the market. He later shared how this may bolster USD demand, making the asset appear more attractive than before.
“I am a big fan of stablecoins. You’ll lower the cost of transactions globally, and you’ll help the unbanked with the advent and proliferation of stablecoins. I also think it helps dollar supremacy because if you look at these stablecoin companies. Whether it’s Circle or Tether, or other companies that are growing in their reserves. They own a lot of US dollar-denominated assets, specifically US Treasury.”
Stablecoins will lower the cost of transactions and help U.S. dollar supremacy 🇺🇸
— CryptosRus (@CryptosR_Us) May 22, 2025
– @Scaramucci, Founder SkyBridge Capital pic.twitter.com/lzLnLugCgH
Donald Trump Jr. on Stablecoins
Donald Trump Jr. has also reiterated a similar stance, adding how stablecoins can effectively curb the rising de-dollarization narratives.
“I think the stablecoins are going to be the actual savior of the dollar’s hegemony in the world.” Trump Junior later shared.
Since the start, the Trump administration has been particularly keen on exploring stablecoins and integrating the product into its day-to-day proceedings. Scott Bessent, the United States Secretary of the Treasury, has openly discussed the gains that stablecoins may bring for the USD.
“Well, we are going big on digital assets. So the Trump administration has made digital assets a priority. What we want to do is to apply the highest US regulatory and AML standards to digital assets, especially stablecoins. And I’ve seen the estimates over the short term. Especially stablecoins and how they can create $2 trillion of demand for US treasuries.”
Bessent suggests stablecoins could bring $2 Trillion of demand to US treasuries in the short term.
— Cryptoinsightuk (@Cryptoinsightuk) May 24, 2025
IMAGINE the positive market impact that another $2 Trillion + of stablecoins would mean?!
I swear whenever we see $1 Billion in $USDT minted Bitcoin surges.
Imagine what $2… pic.twitter.com/Qpa4qD03UJ
Also Read: De-Dollarization: 40% of Foreign Transactions Now in the Chinese Yuan