Stablecoins Could Reinforce U.S. Dollar Dominance, Says White House Crypto Czar

David Sacks, the White House AI and crypto czar, recently stated that stablecoins could potentially strengthen the U.S. dollar’s global dominance. This statement was made just hours after Senator Bill Hagerty proposed the GENIUS Act, which aims to clarify rules and establish standards for a critical sector of crypto transactions.

Stablecoin Regulation Takes Center Stage

Policy discussions suggest that new regulations may require market participants to hold reserves almost exclusively in U.S. Treasury Bills. This development indicates that Congress may prioritize stablecoin regulation under the Trump administration.

Senator Hagerty’s GENIUS Act proposes to establish standards for stablecoins, which are fiat-pegged dollars running on blockchains. This legislation could have significant implications for the cryptocurrency market and the U.S. dollar’s global influence.

Bitcoin Reserve Promises and the U.S. Sovereign Fund

Responding to a question on President Trump’s Bitcoin reserve promises, Sacks stated that exploring the “feasibility of a strategic BTC reserve” was a top priority for the crypto council. The U.S. is currently the largest sovereign BTC holder, with approximately 207,000 BTC—mostly acquired through criminal seizures.

A proposal from Senator Cynthia Lummis would enlarge this stockpile and change laws to allow the Treasury Department to hold BTC. However, Sacks declined to comment on whether a U.S. sovereign fund would accumulate cryptocurrencies.

Crypto Policy Development Accelerates in Congress

Representative French Hill confirmed that both chambers of Congress plan to accelerate and coordinate crypto policy development through joint working groups. The four pro-crypto lawmakers announced that, for the first time, their committees had established dedicated subcommittees focused on digital assets.

Key takeaways from the press conference include:

  • Stablecoins could reinforce U.S. dollar dominance, according to White House crypto czar David Sacks.
  • Senator Hagerty’s GENIUS Act proposes to establish standards for stablecoins.
  • Congress may prioritize stablecoin regulation under the Trump administration.
  • The U.S. is currently the largest sovereign BTC holder, with approximately 207,000 BTC.

For more news on the latest developments in the world of cryptocurrencies and finance, visit Global Crypto News.

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