Stablecoin Issuers Rank Among Top 16 Holders of US Treasuries
Despite concerns from some US leaders, stablecoins might boost the dollar's strength and increase demand for US Treasuries. Though new, they're already among the top holders of US government debt.
Despite some US politicians against Stablecoins, Stablecoin have turned out to be a good thing for the dollar. Stablecoins, digital money backed by real money, are now big holders of US government debt called "Treasuries."
On October 18, expert Miles Deutscher said stablecoins have more US Treasuries than many countries, like Norway and Mexico.
Stablecoins have over $100 billion in U.S. Treasuries making it the worlds 16th largest U.S. treasury holders. Japan comes in first holding over $1trillion in U.S. treasuries and China coming scond with $800 billion in U.S. treasuries
These Treasuries are used by the government to get money. They are becoming more valuable because US interest rates are going up.
Stablecoins are good because they are tied to the dollar and help many countries have access to dollar.
Also, you can see all stablecoin activities on the blockchain, unlike real money. This can stop bad use cases like illegal activities.
Looking at the stablecoin world,Tether is the leader. It has the most US Treasuries and controls 68% of the stablecoin market.
Circle USDC is next with 20.5%. All stablecoins together are worth $123.5 billion, which is 11% of all digital money's value.
