In a recent discussion, David Sacks, a notable figure in the cryptocurrency world, pointed out the significant advantages linked to the Guiding and Establishing National Innovation for US Stablecoins Act, also known as the GENIUS Act. He suggested that clear regulations regarding stablecoins could lead to a massive increase in U.S. Treasury demand.

In an interview on May 21, 2025, Sacks revealed the existence of approximately $200 billion in unregulated stablecoins. He asserted that the establishment of regulations could result in

“trillions of dollars of demand for our Treasuries practically overnight, very quickly.”
— David Sacks

The GENIUS Act recently passed through the Senate with a vote count of 66, supported by 15 Democrats, signifying a major step forward. Sacks highlighted the bill’s potential as an economic boon, stressing the ability of stablecoins to provide a more efficient and cost-effective payment system for the U.S. economy.

Key Highlights

• Stablecoin Oversight: The GENIUS Act mandates that stablecoin issuers maintain reserves in secure assets like treasury bills.
• Bipartisan Support: The recent Senate vote showcases political backing for stablecoin regulation.
• Market Potential: Clear regulations could unlock trillions in demand for U.S. Treasury bonds almost instantly.

Conclusion

The implications of the GENIUS Act are profound, potentially changing the landscape of stablecoin regulation in the U.S. and paving the way for a more integrated economic future.