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Senator Bill Hagerty (R-TN) says that one segment of the crypto industry will likely become the largest holders of US Treasuries.<\/p>\n
In a new interview on CNBC Television, Hagerty says<\/a> stablecoin issuers will likely purchase massive amounts of US Treasuries as reserve funds to ensure the digital assets remain pegged to the dollar.<\/p>\n Says Hagerty,<\/p>\n \u201cStablecoin issuers will be the largest holders of US Treasuries in the world.\u201d <\/em><\/p>\n Hagerty introduced the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, which aims to establish federal regulations around the use of stablecoins. The bill is currently being debated by Congress.<\/p>\n Asked what will back stablecoins, Hagerty says,<\/p>\n \u201cIt\u2019s not going to be equities. It\u2019s going to be high quality short-term assets, either short-term US Treasuries or cash. I think the majority of it will be US Treasuries.\u201d <\/em><\/p>\n