The U.S. government has stated that it will utilize stablecoins to strengthen the dollar's status as a reserve currency. Stablecoins are virtual assets linked to the value of fiat currencies.
Scott Basset, U.S. Minister of the Treasury, attended the first virtual asset summit hosted at the White House on the 7th (local time) and noted, "We will ensure that the United States (dollar), as directed by President Donald Trump, continues to be the dominant reserve currency in the world," adding, "We will utilize stablecoins for this purpose."
Generally, corporations that issue dollar-based stablecoins hold U.S. government bonds as collateral in proportion to the volume of stablecoins issued. The U.S. government believes that as the use of stablecoins increases, the demand for U.S. government bonds will rise, further solidifying the dollar's position. The U.S. Treasury has estimated that around $120 billion (approximately 174 trillion won) of government bonds are used as collateral for stablecoins, which is similar to the amount of U.S. government bonds held by South Korea.
On that day, President Trump, who attended the summit, supported the expansion of stablecoin usage and urged Congress to prepare relevant legislation. He stated, "I strongly support the efforts of lawmakers working on bills to provide regulatory certainty for stablecoins backed by the dollar and the virtual asset market." He further described the legislation related to stablecoins as "a tremendous opportunity for economic growth and innovation in our financial sector," expressing hope that Congress would pass the bills before their recess in August. Previously, Republican Congressman Bill Hagerty introduced legislation defining the legal status and issuance procedures for stablecoins.