Stablecoins Expected To Boost U.S. Treasury Demand By 2025

According to PANews, OKG Research has analyzed that unlike Bitcoin, which indirectly addresses debt, stablecoins like USDT and USDC are creating a more direct demand for U.S. Treasuries. With the advancement of U.S. legislation and the rising global adoption of stablecoins, it is anticipated that by 2025, the market capitalization of stablecoins will surpass $400 billion. This growth is expected to generate an additional demand for U.S. Treasuries exceeding $100 billion, potentially positioning the stablecoin market among the top ten global holders of U.S. debt. The report highlights that if the cryptocurrency market continues its growth trajectory, stablecoins will become a significant 'invisible pillar' in the U.S. Treasury market. Their direct demand for U.S. Treasuries is projected to surpass the indirect benefits provided by Bitcoin's strategic reserves.