World-famous bank Standard Charetered: The value of these coins will increase 8x in 3 years! - Coin Newsletter

Analysts stated that the new stablecoin law to be enacted by the United States could increase the total stablecoin supply from the current level of $230 billion to $2 trillion by the end of 2028.

Analysts at Standard Chartered predict that the GENIUS Act, a stablecoin bill passed by the U.S. Senate Banking Committee last month and is expected to become law in the summer, will formalize the industry and accelerate stablecoin adoption. According to analysts led by Geoffrey Kendrick, the global head of the bank's digital asset research team, this development will result in a nearly 10x increase in stablecoin supply.

Analysts believe that after the new law, stablecoin issuers will adopt a reserve approach similar to the model used by Circle. Today, 88% of Circle's USD Coin (USDC) reserves are made up of short-term US Treasury bonds with an average maturity of 12 days. Following the law's enactment, stablecoin issuers can similarly convert their reserves into short-term Treasury bills and hold onto a total of approximately $1.75 trillion of U.S. Treasury bonds by 2028.

Analysts at Standard Chartered have calculated that the stablecoin industry will need $1.6 trillion worth of U.S. Treasury bonds over the next four years. That's enough to cover all of the new short-term bond issuances expected to be issued during Donald Trump's second term as president. Thus, the stablecoin sector could become one of the largest buyers of U.S. Treasury papers.

With the widespread use of Stablecoin, the demand for US dollar is expected to increase, while it is stated that the dominance of the dollar in global markets will also strengthen. However, according to analysts, in the long run, the popularization of stablecoins tied to other currencies or mixed currency baskets could threaten dollar dominance. Although the IMF's Special Drawing Rights (SDR)** model remains limited, stablecoin models based on mixed currencies may gain traction in central banks' reserve management in the future.