Thomas Daniels
According to White House AI and cryptocurrency czar David Sacks, stablecoins may be essential to preserving the dominance of the US dollar internationally. His remarks were made just hours after Senator Bill Hagerty unveiled the GENIUS Act, a bill that would establish rules for digital assets.
Sacks presented President Donald Trump’s vision for the future of the digital asset industry in the United States during a press conference with prominent Republican lawmakers. He underlined that by further integrating the dollar into the digital economy, stablecoins—blockchain-based tokens linked to fiat currencies—could strengthen the dollar’s dominance. The dollar’s standing as the global reserve currency may be strengthened by future legislation requiring stablecoin issuers to retain reserves mostly in U.S. Treasury Bills, according to ongoing policy discussions.
Congress Will Give Regulation of Stablecoins Priority
Stablecoin regulation may become a legislative priority under the Trump administration, according to developments on February 4. The recently proposed GENIUS Act by Senator Bill Hagerty aims to create a clear regulatory framework for the industry, guaranteeing adherence to financial norms while encouraging innovation.
Sacks also responded to inquiries on Trump’s position on Bitcoin (BTC), specifically the possibility of a strategic Bitcoin reserve in the United States. He confirmed that the administration’s crypto council had made investigating the “feasibility of a strategic BTC reserve” a top priority. With an estimated 207,000 BTC, mostly obtained through illegal seizures, the United States is currently the largest sovereign Bitcoin holder.
Senator Cynthia Lummis has suggested amending current legislation to permit the U.S. Treasury Department to directly own Bitcoin and increasing the size of federal Bitcoin holdings. “You’ll have to ask soon-to-be Commerce Secretary Howard Lutnick about that,” Sacks said in response to a question about whether a sovereign investment fund might amass cryptocurrency.
Senate Committees Form Digital Assets Subcommittees
Several prominent lawmakers also spoke at the press conference, including G.T. Thompson, the chair of the House Agriculture Committee, John Boozman, the chair of the Senate Banking Committee, and French Hill, the chair of the House Financial Services Committee.
Representative Hill affirmed that by creating joint working committees, both houses of Congress are speeding up the creation of crypto policies. A major step forward in federal supervision of the cryptocurrency industry was also marked by MPs’ announcement of the creation of specialized subcommittees devoted to digital assets.
Stablecoins and Bitcoin policy continue to be hot topics in Congress as the Trump administration continues to shape its approach to digital assets.
