At a Senate hearing on Wednesday, Treasury Secretary Scott Bessent predicted explosive growth for dollar-pegged stablecoins, suggesting that the market could exceed $2 trillion in three years, which could exceed conservative estimates.
His optimistic forecast coincided with the Senate's passage of the landmark GENIUS Act.
He said:
"I believe that stablecoin legislation backed by US treasuries or T-bills will create a market that will expand US dollar usage via these stablecoins all around the world. I think that $2 trillion is a very reasonable number, and I could see it greatly exceeding that."
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The legislation would require full reserve backing and apply rigorous audits to major issuers, and President Trump is pushing for its passage before the August recess.