Treasury Secretary Scott Besant pushes for US dollar dominance in global markets with stablecoin sectors

U.S. Treasury Secretary Bezos backs stablecoin against the dollar in response to concerns about rising sovereign-debt yields

U.S. Treasury Secretary Scott Besant recently defended the strength of America's economy with data such as stablecoin penetration and dollar-denominated trade, in an attempt to allay anxiety about rising government debt yields and changes in the international payments landscape.

Citing US dollar trading data to refute the question

Responding to a recent New York Times article analyzing US fiscal structural risks, Besant responded on social media X. He cited figures highlighted by conservative commentator Lawrence Kudlow and emphasized that the dollar's dominance in the world remains solid: 89.2% of global foreign exchange transactions are denominated in dollars against $ trading pair ; meanwhile, the vast majority of $ stablecoin is pegged to the dollar.

Several economic data support the basics

In addition to monetary status, Besant listed a range of economic indicators: median household income at an all-time high, official poverty rates at historic lows, continued employment growth and the Atlanta Fed's projected annual GDP growth rate of 5.1% in the third quarter.

Debt repurchase dispute and shifting multilateral bridge projects

Besant's comments came at a time when the yield on U.S. Treasury bonds was reaching its highest level in many years, with ten-year yields peaking at 5 percent.[citation needed] The treasury department recently bought back long-term debt that critics have accused of being designed to suppress returns.

Besant also referred to Saudi Arabia's withdrawal from the cross-border digital currency platform promoted by China as a sign of support for U.S. dollar dominance, but said its involvement would end in May 2025, after completion of an established proof-of-concept. The platform is still expanding elsewhere, so Saudi exit was more of a symbolic victory for Washington and does not mean that the whole project is falling apart.