U.S. Treasury Secretary Yellen: Stablecoins will become major buyers of government bonds! Has discussed with Tether and Circle.

The U.S. Treasury Department is eyeing the strength of stablecoins to buy bonds, and it is rumored that Treasury Secretary Bescent has been in talks with Tether and Circle. It can be seen that the GENIUS Act has driven huge crypto funds to short-term Treasuries. (Synopsis: USDT for the US is coming?) Tether CEO details the company's strategy) (Background added: From printing money to building chains, Circle's "central bank dream") According to the Financial Times, people familiar with the matter revealed that US Treasury Secretary Scott Bessent shouted a new idea in Washington to make stablecoins a "new gold owner" for a large number of purchases of Treasury bonds. He is rumored to have been in talks with Tether and Circle to discuss a purchase plan for short-term Treasury bills in the coming quarters. Stablecoins are now valued buyers of Treasury bonds It is said that the purchase of US bonds by stablecoin issuers can simultaneously strengthen government financing, spread the use of the dollar, and stimulate the demand for science and technology, creating a "win-win-win". The U.S. Treasury Department previously solicited proposals through a consultation document in July, and also considered adjusting the bidding pace to accommodate 24-hour trading. The total market capitalization of stablecoins is now about $286.8 billion, and some units are expected to soar to the size of megabytes within a few years, enough to make up for the gap after the ebb of Chinese and Japanese Treasury bond purchases. The biggest reason is that the biggest catalyst for the GENIUS Act stablecoin is the GENIUS Act, which hit the road in July. The new law stipulates that stablecoins must be 1:1 short-term debt or cash reserves, fully redeemable. Those with more than US$50 billion in assets issued are required to pass an annual audit and be included in bank-level supervision. Mandatory reserves tie stablecoin growth to demand for government bonds. Tether already holds $127 billion in government bonds, of which $100 billion is short-term notes, more than some sovereign funds. Circle also holds about $20 billion in short-term debt, and the two together account for 3% of T-bills' liquidity in 2024, promoting major buyers in just a few years. Currently, Tether and Circle are not responding. Related reports Bank of America report: Financial institutions have become unavoidable stablecoins, with an annual market value increase of $75 billion U.S. banks join forces to boycott the "Genius Act", stablecoins become a thorn in the eyes of conservative interests Bauer 8/22 global central bank annual meeting to return the pigeon? Goldman Sachs predicts: cut interest rates three times this year, optimistic about short-term U.S. bonds (U.S. Treasury Secretary Bessen: stablecoins will become a big buyer of Treasury bonds! This article was first published in BlockTempo's "Dynamic Trend - The Most Influential Blockchain News Media".