The Bank of England’s Carolyn Wilkins says dollar stablecoins could strengthen US currency dominance and funnel even more demand into Treasurys. This is no longer just a crypto liquidity story—it is becoming a sovereign-debt pipeline.

  • $300B+ stablecoins now circulate globally, with 98% tied to the US dollar
  • USDT and USDC held nearly $150B in Treasury bills at end-2025
  • Issuers bought roughly $33B of Treasurys during 2025, but mass redemptions could trigger forced selling

LaunchBar takeaway: stablecoin growth is quietly expanding dollar liquidity and Treasury demand, strengthening the macro case for regulated digital dollars. The risk trade is asymmetric: adoption supports USDT and USDC, while a redemption shock could amplify bond-market volatility fast.

On-chain market chart
On-chain market chart