- BlackRock asserts stablecoins bolster US dollar’s global influence.
- The GENIUS Act supports stablecoin backing by US assets.
- Potential strengthens in dollar’s role in global settlements.
BlackRock, the world’s largest asset manager, has indicated that crypto stablecoins could enhance US dollar dominance, following the GENIUS Act’s passage in July 2025.
This statement underscores the increasingly crucial role of digital currencies in global finance, potentially encouraging more institutional investment and regulatory clarity in the cryptocurrency sphere.
BlackRock indicates that crypto stablecoins might enhance the dominance of the US dollar globally. This assertion comes after new legislation, the GENIUS Act, was passed to regulate stablecoins in the United States.
The company, with a $12.5 trillion asset management portfolio, suggests that stablecoins could expose the dollar to new international use cases, enhancing its global position.
The GENIUS Act mandates stablecoin issuers to back their tokens with liquid US assets. This development positions stablecoins as a potential booster for the US dollar’s economic influence abroad.
BlackRock’s involvement in stablecoins, through investments in Circle and other ventures, reinforces institutional support for digital assets. The global market might see an increase in stablecoin adoption following this strategic positioning.
Experts believe that stablecoins could reduce volatility and improve the dollar’s stature. Increased adoption is likely, particularly within DeFi and settlement processes. US dollar-backed stablecoins hold around 7% of the entire crypto market.
BlackRock’s research highlights stablecoins as part of five mega forces expected to shape future financial returns. The legislation and support from firms like BlackRock might drive further institutionalization of digital assets in various sectors.
“Stablecoins are a step in the right direction for the U.S. dollar. [The GENIUS Act] exposes the titan fiat currency to new international use cases.” — BlackRock Research Team, Market Commentary Analyst, BlackRock
