White House crypto czar says stablecoin bill will unlock trillions for US treasury
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The White House’s top cryptocurrency official has declared that the proposed stablecoin legislation could unlock trillions of dollars in value for the US Treasury. During an interview on Wednesday, David Sacks, President Donald Trump’s top crypto and artificial intelligence advisor, made the bold prediction. “If we provide the legal clarity and legal framework for this, I think we could create trillions of dollars of demand for our Treasuries practically overnight, very quickly.” Sacks said in an interview. The targeted legislation is the GENIUS Act, which is short for Guiding and Establishing National Innovation for US Stablecoins. It would seek to establish federal standards for how stablecoins are originated and governed. This week, the bill passed a key test in the US Senate on a 66-32 cloture vote. This means it has cleared the 60-vote threshold needed to overcome a filibuster. Fifteen Democrats sided with Republicans in endorsing the measure — a testament to unusual bipartisan support. Under the bill, stablecoin issuers must hold reserves to cover every token they put into circulation. Those reserves must be easily accessible and safe assets, such as cash or US Treasury bonds. The idea is to make sure stablecoins remain exactly that: stable. David Sacks described the bill as “a national economic strategy” that would strengthen the US dollar in the internet industry. He said stablecoins provide a new, more efficient, cheaper, and real-time settlement payment system. Trump family’s crypto involvement raises financial and ethical concerns The bill has gained support but has also courted controversy — mostly because of the deep ties between the Trump family and the crypto industry. World Liberty Financial launched its stablecoin, USD1, backed by President Trump’s son, Donald Trump Jr. US Treasuries and dollar deposits collateralize this coin — the precise type of asset that the GENIUS Act would…
Filed under: News - @ May 22, 2025 2:20 am