United States Treasury Secretary Scott Bessent stated the US authorities will use stablecoins to make sure that the US greenback stays the world’s international reserve forex through the White Home Crypto Summit on March 7.
Bessent reiterated the Trump administration’s promise to end the war on crypto and dedicated to rolling again earlier IRS steerage and punitive regulatory measures. Bessent then turned his consideration to stablecoins and stated:
"We're going to put numerous thought into the stablecoin regime, and as President Trump has directed, we're going to hold the US [dollar] the dominant reserve forex on the planet, and we are going to use stablecoins to do this."
President Trump instructed the summit that he hopes lawmakers will get a complete stablecoin regulatory invoice to his desk earlier than the August Congressional recess.
President Trump delivers deal with to White Home Crypto Summit. Supply: The Associated Press
The President was additionally essential of the Biden administration for promoting parts of the seized Bitcoin (BTC), which he stated amounted to billions in losses by way of untimely promoting.
Lots of the attendees of the primary White Home Crypto Summit remarked on the historic nature of the occasion, which cements a seismic shift within the US authorities’s stance towards the digital asset trade.
Attendees of the White Home Crypto Summit. Supply: The Associated Press
Associated: Trump’s crypto summit ‘not going to have anything on taxes’ — White House official
Stablecoins as a solution to prolong US greenback hegemony
Overcollateralized stablecoins, which use short-term US Treasury payments and money deposits to again their digital fiat tokens and thus drive demand for US debt devices, have been pitched as a solution to extend US dollar dominance.
Federal Reserve Governor Christopher Waller additionally voiced assist for using stablecoins to prop up the dollar in February 2024.
Waller argued that the corrosive impact of cryptocurrencies in the marketplace share of the US greenback could be mitigated by stablecoin demand.
Treasury Secretary Scott Bessent says stablecoins will guarantee US greenback hegemony on the White Home Crypto Summit. Supply: The Associated Press
In February 2025, Waller reiterated his stance that stablecoins might assist protect the greenback's standing as the worldwide reserve forex by overcoming capital controls in overseas international locations and enhancing payment rails.
As a part of this effort to leverage stablecoins to defend the US greenback, US representatives French Hill and Bryan Steil introduced a stablecoin bill titled the Steady Act of 2025 to ascertain a complete regulatory framework for dollar-pegged digital fiat tokens.
Journal: Unstablecoins: Depegging, bank runs and other risks loom
