says<\/a> the passing of the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act) in the U.S. Senate and the potential signing of the piece of legislation into law offers \u201cregulatory clarity and stability\u201d for the stablecoin crypto sector.<\/p>\nAccording to Sacks, the GENIUS Act could trigger massive demand for US government debt from various parts of the world.<\/p>\n
\u201c\u2026 the [stablecoin] float is expected to grow from, call it, roughly $250 billion to trillions of dollars. And that would create more demand for the US dollar internationally. I think you could see other economies start to dollarize from the bottom up as their citizens would prefer to use US digital dollars as opposed to whatever fiat currency they\u2019re using. And that would create potentially trillions of dollars of new demand for US treasuries.\u201d<\/em><\/p>\nThe GENIUS Act will also spur innovation in the payments industry, according to the White House advisor.<\/p>\n
\u201cAnd I think that the bill will provide the framework that will give confidence to a lot of traditional financial players to enter the space. And so I think you\u2019re going to see new stablecoin products. And I think you will also see stablecoins being used as payments. I think this is one of the really exciting things about the bill, is that blockchain infrastructure will be used as a new kind of dollar-based payment system, that\u2019s faster, more efficient, smoother. It\u2019s a payment system of the future.\u201d<\/em><\/p>\n