Stablecoin Legislation Could Flood US Treasury With Trillions—Says Biden’s Crypto Lead

Washington’s digital asset czar drops bombshell prediction: A regulated stablecoin market might just refill Uncle Sam’s coffers overnight.

The Trillion-Dollar Crypto Lifeline

Forget austerity measures—the real budget fix might come from dollar-pegged tokens. The White House’s top blockchain strategist claims pending legislation could unleash a tsunami of institutional capital into compliant stablecoins.

Wall Street’s Worst-Kept Secret

Banks hate how fast this moves. Treasury could see more action from crypto rails than from traditional banking channels within 18 months—if the bill passes without Wall Street’s usual ’innovate-to-later-regulate’ sabotage tactics.

Closing thought: Maybe they’ll finally afford to audit the Pentagon now.

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 sanction and regulate.

Earlier this month, Abu Dhabi-based investment fund MGX pledged a significant investment in USD1, routing the funds through Binance, the world’s largest crypto exchange. This marks the largest investment in the Trump-linked stablecoin to date.

The development has alarmed many Democrats, who warn that the bill could funnel money directly into the President’s and his family’s financial pockets, creating an unprecedented conflict of interest.

Senator Elizabeth Warren and other critics demand stronger ethical safeguards be incorporated into the legislation to prevent elected officials from profiting personally.

Despite those fears, Sacks expressed confidence that the bill would pass. However, he declined to address questions regarding Trump’s financial ties to crypto.

Investors flock to stablecoins as Bitcoin surges past $110,000

Stablecoins are digital currencies pegged to real-world assets like the United States dollar. Unlike Bitcoin or many other cryptocurrencies, stablecoins are intended to remain steady and easy to use as payment.

Their popularity is skyrocketing. A recent report by Deutsche Bank revealed that transactions of $28 trillion worth of stablecoins were conducted last year — more than even Visa and Mastercard combined.

The stablecoin space is currently led by Tether, representing over 60% of the market, and banked in the US by Cantor Fitzgerald.

For now, bitcoin keeps soaring. It reached a fresh high on Wednesday at nearly $110,000 a coin.

Sacks believes that stablecoins can be a tool to help the US keep the dollar strong in a world that’s going online and fast. “It also gives the dollar continued dominance online,” he said.

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