According to Forbes, Bill Dudley, a senior researcher at Princeton University, stated that stablecoins cannot solve the problem of the surging debt - servicing costs of the U.S. Treasury Department.

While Treasury Secretary Scott Bessett once argued that the booming development of stablecoins would boost private - sector demand for U.S. Treasury bonds, thereby lowering the government's borrowing costs, this expectation is unrealistic. First, the rate at which stablecoin issuers purchase Treasury bonds will not grow as anticipated. Second, the GENIUS Act prohibits the payment of interest on stablecoins, which leads users to favor quick turnover rather than long - term holdings. In addition, the high turnover rate of stablecoins and potential restrictions on their use by various countries will both affect their effectiveness in reducing the U.S. debt costs.