TechFlow news, May 24 — According to Coinpedia, U.S. Treasury Secretary Scott Bessent said in a recent interview that stablecoins could generate $2 trillion in short-term demand for U.S. Treasuries and bills, far exceeding the current $300 billion.
Bessent reaffirmed the Trump administration’s strong support for cryptocurrency innovation and criticized the previous administration’s destructive regulatory stance. He pledged to encourage sustainable innovation through a balanced, improved regulatory framework.
Stablecoins such as Tether (USDT) are typically backed 1:1 by fiat currencies like the U.S. dollar and hold reserves in liquid assets, including government bonds. As these tokens gain broader adoption, their issuers are becoming significant buyers of U.S. debt instruments.
Meanwhile, the U.S. Senate is preparing a stablecoin regulatory bill expected to provide legal clarity and drive institutional adoption. Market rumors suggest Fidelity and JPMorgan may soon launch their own stablecoins.
