US Plans Joint Ventures to Push Dollar Stablecoins Abroad
Washington is considering a strategy to expand the global use of dollar-backed stablecoins through new private partnerships.
Key points
- The US government plans to form joint ventures with private firms to promote dollar-backed stablecoins overseas.
- Treasury Secretary Scott Bessent said the GENIUS Act could strengthen the dollar’s status as the global reserve currency.
- The European Central Bank is preparing a digital euro pilot expected to begin in the second half of 2027.
The Trump administration is weighing a major push to promote dollar-backed stablecoins overseas. This move aims to reinforce the US dollar as the world’s primary reserve currency.
Bloomberg reported on Wednesday that the government may form joint ventures with private firms. Several federal agencies are expected to participate in this initiative.
Federal agencies lead the effort
The Treasury Department and State Department are central to this plan. The US International Development Finance Corporation will also play a key role in the expansion.
The goal is to increase international demand for these digital assets. This strategy seeks to boost the use of dollars in global financial transactions.
Linking stablecoins to reserve status
Senior officials tie stablecoin growth to the dollar’s global dominance. They believe this will drive demand for US government debt and maintain the currency's strength.
In February 2025, David Sacks noted stablecoins could extend the dollar’s reach. He predicted this could generate trillions of dollars in additional demand for US debt.
Treasury Secretary Scott Bessent supported this view in July 2025. He stated the GENIUS Act could strengthen the dollar’s status as the global reserve currency.
Regulatory framework and global context
The Treasury issued a proposed rulemaking on August 17, 2025. This notice seeks public comment on rules for issuing and selling payment stablecoins.
Other nations are also developing digital payment infrastructure. China’s digital yuan is used in Project mBridge, while the European Central Bank is preparing a digital euro pilot.
