Report: US Weighs Overseas Push for Dollar Stablecoins to Boost Treasury Demand

The GENIUS Act established reserve requirements that could link wider stablecoin circulation to demand for dollars and short-term Treasuries. The Trump administration is reportedly considering an initiative to promote dollar-denominated stablecoins overseas. The goal, according to a Bloomberg report citing people familiar with the plans, is to protect the dollar’s place as the world’s reserve asset and to raise demand for US Treasuries, which stablecoin issuers typically hold as reserves. Joint Ventures and Federal Agencies Under Discussion Per the report, the initiative could involve several federal agencies, including the Treasury Department and the State Department. The US International Development Finance Corp. (DFC) could also be part of the plan. One option under consideration involves creating joint ventures between the government and private-sector firms to support stablecoin projects in overseas markets. That’s probably where the DFC would come in, as it often partners with private companies to advance US foreign policy goals, and its head is incidentally Ben Black, son of Apollo Global Management co-founder Leon Black. Apollo has reach in crypto and stablecoins, including...