The US weighs promoting dollar stablecoins abroad, Bloomberg reports
The Trump administration is considering joint ventures with private companies alongside the Treasury, the State Department and the International Development Finance Corporation, according to CoinDesk, citing Bloomberg.
The goal would be to reinforce the dollar as a reserve currency and raise demand for Treasuries. According to CoinDesk, the stablecoin market is worth $292.49 billion, USDT and USDC make up nearly 90%, and issuers together hold about $200 billion in US debt.
The IMF and the Bank for International Settlements have warned that dollar stablecoins can speed up capital flight from emerging economies and weaken their currencies, the same outlet reports.
Sources: CoinDesk · Cointelegraph