The Trump administration is considering an initiative to promote the use of dollar-denominated stablecoins overseas, with the stated goal of reinforcing the U.S. dollar’s position as the world’s reserve currency and increasing demand for U.S. Treasury securities.
According to the report, the initiative could involve public-private partnerships with stablecoin projects and potentially span several U.S. government agencies.
The U.S. Treasury Department and State Department could be involved in the effort, while the U.S. International Development Finance Corporation (DFC) may also participate.
The proposal would focus on expanding dollar-backed stablecoins outside the United States. Stablecoin issuers generally maintain reserves in cash and short-term government debt, meaning greater use of dollar-denominated stablecoins could increase demand for those reserve assets.
The initiative remains under consideration, and the Treasury Department and White House did not respond to requests for comment, while representatives of the State Department and DFC declined to comment.
If pursued, the plan would place stablecoins at the center of a broader effort to maintain the international role of the U.S. dollar, while potentially strengthening demand for U.S. Treasuries.
