The issuance of stablecoins is about to explode! According to Bloomberg, Washington is considering a public-private partnership to push dollar-backed stablecoins, already regulated under U.S. law, to overseas markets. The goal? To strengthen the dollar’s dominance while boosting demand for short-term U.S. debt. Potential federal agencies involved: Treasury Department, State Department, and the U.S. International Development Finance Corporation (DFC, which focuses on collaborating with the private sector to advance U.S. foreign policy objectives). This basically confirms what I mentioned in a tweet about the 'stablecoin wave' a year and a half ago regarding the U.S.'s core strategy for promoting stablecoins: 1) Many countries are de-dollarizing, but dollar stablecoins can intercept these populations on-chain and bring them back into the dollar system. 2) The dollar reserves backing stablecoins represent a massive purchasing power for U.S. short-term treasuries. 3) While the Federal Reserve controls the dollar, the issuance of U.S. stablecoins might fall under the Treasury, OCC, or SEC. One thing is certain: if this initiative is implemented, stablecoin issuance will see a massive boom. In the next 2-3 years, we might actually witness stablecoin issuance surpassing $500 billion, or even reaching the $1 trillion mark. The larger the stablecoin issuance, the more the core assets across the entire chain will benefit. The biggest winners will be: 1) Compliant issuers: Circle, future bank joint-venture coins, and licensed trust banks. Of course, it depends on which private partner Washington chooses for the public-private partnership, but Circle is naturally the frontrunner. 2) Settlement blockchain platforms: $ETH and $SOL are the main settlement platforms for stablecoins. 3) Exchanges: Binance, OKX, and others (all deeply partnered with Circle), as well as platforms like Coinbase ($COIN) and Robinhood ($HOOD). Especially Coinbase, which is expanding its user base and KYC efforts in the Asia-Pacific region. In the future, exchange accounts might start to resemble offshore dollar accounts. And of course, the larger the stablecoin ecosystem grows, the faster the trends of tokenization and RWA (real-world assets) will develop. I’ve previously detailed which assets are likely to benefit from the tokenization and RWA trend: https://(x.com)/qinbafrank/status/2101118733423174043?s=46&t=k6rimWsEbo2D2tXolYcM-A