Trump Administration Taps Private Sector to Boost Dollar Dominance

The Trump administration is exploring ways to promote dollar-backed stablecoins globally through joint ventures with private companies. The goal is to bolster the US dollar's global dominance and increase demand for US Treasury securities.

The US Department of the Treasury, State Department, and the U.S. International Development Finance Corporation could be involved in this effort. Rather than building government-run infrastructure from scratch, officials are looking at partnering with private-sector firms already active in the space.

This plan would build on a market that is already dominated by two players: USDT and USDC, pegged 1:1 to the US dollar, together account for almost 90% of the total stablecoin market value of $292.49 billion.