Michael Saylor, co-founder and executive chairman of Microstrategy, has discussed the opportunity for the U.S. to make the dollar ubiquitous by building a regulatory framework that allows U.S. banks to issue their treasury-backed stablecoins.
🔶Michael Saylor Discusses US Banks’ Upcoming Digital Dollar Adoption
Michael Saylor, bitcoin visionary, co-founder, and executive chairman of Microstrategy, the first company on the bitcoin standard, has discussed the great opportunity the U.S. has to extend the popularity and usage of the dollar around the world.
During an interview on CNBC, Saylor stated that with President-Elect Trump’s victory at the polls, the U.S. could now issue a digital assets framework focused on making the dollar the world’s reserve digital currency.
Saylor stressed that due to the current administration’s adverse stance on crypto and the still unclear digital currency issuance regulatory framework, most dollar-backed stablecoins were issued by offshore companies like Tether. Nonetheless, he believes that with the new administration, banks can gain the faculty to issue their dollar-backed stablecoins, opening a potential international market of $10 trillion for the currency.
These movements would also spur the demand for U.S. treasuries, which would be used to back the value of these privately issued tokens.
When asked if this would represent a threat to the U.S. dollar, Saylor remarked:
The point is that people in Russia, China, Africa, and South America can’t trade with the U.S. dollar directly because they don’t have U.S. bank accounts. They are using Tether because they desperately want access to the dollar on their mobile phone.
Saylor explained that to make this opportunity a reality, the U.S. does not want just $150 billion of U.S.-backed dollar stablecoins issued by offshore companies but $10 trillion backed U.S. dollar stablecoins issued by U.S.-regulated banks and companies with the money stored onshore backed by U.S. treasuries. “The demand is there; we just need a digital assets framework for that industry to come to life,” he concluded.
Before, Saylor had proposed a power gold-to-bitcoin trade, selling all the U.S.’s gold stash to acquire at least 20% of the bitcoin issuance for the so-called strategic bitcoin reserve.