Eric Trump, businessman and son of US President Donald Trump, argued that stablecoins could protect the strength of the US dollar.
Eric Trump: “Stablecoins Will Save the US Dollar”
In an interview with the New York Post, Eric Trump said he believes stablecoins will “save the US dollar.” Trump specifically highlighted the stablecoin USD1, developed by his family’s crypto venture, World Liberty Financial (WLFI).
WLFI’s plans, announced in March, sparked conflict of interest debate in Washington, where lawyer Andrew Rossow argued the initiative was “in direct violation of constitutional safeguards.”
In April, Maxine Waters, a ranking member of the House Financial Services Committee, claimed that Donald Trump aimed to manipulate the US dollar for his own benefit with his stablecoin project.
Five Democratic senators also emphasized in a letter published in March that a sitting president gaining direct financial benefits from a stablecoin poses “unprecedented risks.”
Despite criticism, the Trump administration implemented stablecoin regulations in the US with the GENIUS Act. However, during this period, allegations emerged that Donald Trump had increased his wealth by approximately $2.4 billion thanks to his crypto ventures.
On the other hand, US Federal Reserve Board Member Christopher Waller argued that stablecoins would strengthen the dollar’s role as a global reserve currency.
LayerZero Labs CEO Bryan Pellegrino has also stated that stablecoins are “the most powerful tool to protect the dollar’s global dominance.” However, some European financial institutions argue that these regulations could weaken the dollar’s dominance in the long run.
*This is not investment advice.