The United States views dollar-pegged stablecoins as a tool to help reverse the collapse of the dollar status as a global currency reserve, according to a new report from the Digital Asset Banking Group Sygnum. To accelerate that goal, the current administration encourages the growth of the Stablecoin market and encourages Congress to pass the related law.
Views come from the latest sygnum Report Examines the dollar’s stance as a reserves of money and efforts of the US government to maintain it.
U.S. president Donald Trump and the main members of his administration, including Treasury Secretary Scott Bessent and AI and David Sacks, “Crypto and AI Czar,” who leads the president Council of science and technology advisers, are pushing for the rapid passage of Genius Actthat controls the stablecoins and their issues to the United States. The law passed the Senate on June 17 and is currently in the House of Representative.
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The global alternative to the US dollar stablecoin appeared
While the US government is driving dollars-pegged stablecoins, resistance is growing worldwide. On April 16, the Italian Minister of Finance warned That the US dollar stablecoins are taking a greater risk than tariffs And that the appeal of these stablecoins should not be enderestimated.
Fireblocks policy leader Dea Markova told Cointelegraph that there is growing demand for stablecoins who are not in the US dollarDespite limited liquidity for coins today. The sygnum is Collaborated with fireblocks for an instant regulating network that includes Stablecoin transactions.
Three major creatures in Abu Dhabi has cooperated to launch a Dirham-Pegged StablecoinAwaiting approval from UAE regulators.
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Demand for US dollar comes from the formation of countries
The Sygnum report cites the request for the US dollar derived from retailing countries, facing inflation and decline in local currency.
“The US administration believes the dollar denomination stablecoins can deliver this request and reverse the status of the dollar’s eroding currency,” the report said.
Little Tischhauser, head of research in Sygnum, told Cointelegraph, “The dominance of the dollar stablecoins throughout the crypto industry will help boost dollar dominance if the blockchain -based, decentralized economy expands significantly.” He added:
“However, I’m not sure that there is a compelling case for stablecoins that moves the needle to the dominance of the dollar beyond that, unless the use of retail facilitates developing countries behind the incentives.”
In addition, the resistance may come from the BRICS, a bloc of 10 countries seeking to reduce the US dollar reliance. According to Sygnum, the group is advancing a multipolar financial system that favors many Fiat currencies for cross-border trade and settlement, rather than a single global currency reserve.
Magazine: Legal Panel: Crypto wants to overthrow banks, now it becomes them in the stablecoin fight
