Stablecoins Reshape Global Finance

The passage of the GENIUS Act in 2025 has propelled U.S. dollar-backed stablecoins into the spotlight, raising questions about their impact on the global financial system.

Nellie Liang and Brent Neiman argue that properly regulated stablecoins could deliver significant benefits, including reduced transaction costs and increased efficiency in international payments.

The authors also highlight potential national security concerns, as widespread adoption of stablecoins could erode the dollar's dominance in global trade and finance, making it more difficult for U.S. authorities to enforce sanctions and combat illicit finance.