U.S. Treasury Secretary Scott Bessent said on June 17 that stablecoins could help lower the national debt. He made the statement ahead of a key Senate vote on the GENIUS Act. The vote is scheduled for today, with the session starting at 4:30 PM Eastern Time.
The GENIUS Act stands for Guiding and Establishing National Innovation for US Stablecoins. It is a bill that would set rules for how stablecoins are issued, backed, and regulated. Bessent believes this bill could be a game-changer for both the crypto market and U.S. finances.
Bessent wrote in a post on X that stablecoins could reach a $3.7 trillion market cap by 2030. He said this growth could come faster if the GENIUS Act becomes law. The bill would require stablecoin issuers to hold safe assets like Treasury bills or insured deposits.
He called the move “a win-win-win” for the Treasury, consumers, and companies. He explained that most stablecoin reserves would be held in short-term U.S. Treasuries. This would increase demand for those bonds, helping lower the government’s borrowing costs.
Bessent said, “The fresh buyer base could help rein in the national debt.” He also noted that global users of dollar-backed stablecoins would join the U.S. digital economy. This would expand the reach of U.S. currency and boost financial innovation.
Meanwhile, On June 12, the Senate voted 68–30 to advance the bill by ending debate. This started a 30-hour countdown to the final vote. Majority Leader John Thune placed the bill in the final voting block before it was moved to the House.
The GENIUS Act would ban issuers from offering interest and require customer checks and suspicious activity reports. It also requires large issuers to get a federal charter. Smaller ones can still operate under state rules if they meet federal standards.
The Treasury would publish audit templates every quarter. The Commodity Futures Trading Commission would also get limited powers in the spot market.
Bessent also pointed to a Citi report saying stablecoins could grow to $3.7 trillion by 2030. The current market is around $255 billion, led by Tether and USDC. He believes stablecoins could hit $2 trillion by 2028 with the right rules.
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