Stablecoins Could Inject $2 Trillion into US Treasury Market

A projection by Scott Bessent, CEO of Key Square Group and former U.S. Treasury Secretary, suggests stablecoin issuers could inject up to $2 trillion into the U.S. Treasury market. This surge in holdings from current levels of around $300 billion is expected to significantly impact government debt instruments, including T-bills. This shift comes amidst regulatory developments aimed at integrating stablecoins into the regulated financial system through initiatives like the GENIUS Act.