David Sacks: Stablecoin Legislation Could Create Trillions of Dollars in Demand for the US Treasury

According to The Block, crypto czar David Sacks stated on a CNBC program that the GENIUS stablecoin bill is expected to pass, potentially creating a demand for trillions of dollars for the U.S. Treasury "almost overnight."

The bill requires stablecoins to be fully backed by U.S. Treasury bonds or dollar equivalents and imposes registration and audit requirements on large issuers with a market cap exceeding $50 billion. Despite concerns from lawmakers about the Trump family potentially benefiting, Sacks emphasized that the bill has gained significant bipartisan support, with 15 Democrats voting in favor, as it will provide a "more efficient, cheaper, and smoother payment system" and expand the dollar's online dominance.

Currently, the stablecoin market size has reached $200 billion, and Tether holds nearly $120 billion in U.S. Treasury bonds, surpassing Germany to become the 19th largest holder globally.