Why the Trump administration is betting on stablecoins: Treasury demand
Quote96 words
Argues skyrocketing Treasury yields and possible bond sales by Japan and China push the US toward Treasury-backed stablecoins, which embed Treasury demand in a dominant medium of exchange, lowering yields and reinforcing dollar dominance.
Key claims
US Treasury-backed stablecoins would boost global demand for US government debt and push yields down
The Trump administration will keep supporting stablecoin growth
饾棯饾椀饾槅 饾棫饾椏饾槀饾椇饾椊 饾椂饾榾 饾棔饾棽饾榿饾榿饾椂饾椈饾棿 饾椉饾椈 饾棪饾榿饾棶饾棷饾椆饾棽饾棸饾椉饾椂饾椈饾榾
Skyrocketing yields on US Treasuries have macroeconomists increasingly concerned, especially as major holders like Japan and China face growing economic pressures, potentially encouraging bond sales that further exacerbate the problem.
The way out?
US Treasury-backed stablecoins.
By embedding US treasury demand directly into the dominant medium of exchange within this novel, internet-native financial system, stablecoins will boost global demand for US government debt, drive yields back down, and reinforce dollar dominance in the digital era.
This is exactly why the Trump administration will keep fueling this rocket.
Buy more, now.
QUOTING @KobeissiLetter
Today we are seeing how strongly markets react to a pullback in treasury yields. How can we achieve sustainably lower yields? t.co/no40z3f1I4
Today we are seeing how strongly markets react to a pullback in treasury yields. How can we achieve sustainably lower yields? t.co/no40z3f1I4