Goldman Sachs says that we are on the verge of a rush to the stable of the stable worth billions

FT sources asked for anonymity, but it was not necessary that they were so shy: Bessent said in a press release in July that it expected at the request of cryptocurrencies – supported 1: 1 with instruments in US dollars – to support the price of obligations:

“This revolutionary technology will strengthen the status of the dollar as a global reserve currency, will expand access to the economy of the dollar for billions around the world and will lead to an increase in demand for American treasury bills, which supports stablescoins. The act engineering provides the fast-growing stable market, “he said at the time.

So what is the size of a business?

Goldman Sachs thinks that we are at the start of a Stablecoin gold rush, according to a research document published today by Will Nance and others from the bank.

“Stablecoins are a global market of $ 271 billion, and we believe that the USDC (The Stablecoin issued by Circle) benefits from the gains of market share on and out of the partner binance platform, as legislation during stabbing, legitimizes the ecosystem, and the cryptographic ecosystem potentially widens growth. USDC, or a 40%TCAC, from 2024-27th, ”they wrote.

The total potential Stablecoins market is in the thousands of billion, says Goldman. “Visa sizes The Addressible market for payments to ~ 240 billions of dollars in annual payment volume, consumer payments representing approximately 40 billions of dollars in annual expenditure. The majority of the activity of Stablescoin is motivated by the cryptographic negotiation activity and the request for exposure to a dollar outside the United States. »»

Since stablecoins in the United States must be supported 1: 1 with dollars or American obligations, each stablecoin issued increases the request for obligations that support them. Some people believe that this will change the bond market, in particular for short -term bonds with low interest yields. A research document from Bank for International Settlements (an international organization that promotes cooperation between central banks), says it will be:

“An influx of deviation to 2 standard in the stabbed reduces the yields of the treasury by 3 months by 2-2.5 base points within 10 days,” said the BIS document. But the effect is “asymmetrical”: “the stable sets of decorations increase the yields from two to three times more than the entries lower them,” said the newspaper.

Paul Donovan d’UBS is more skeptical: “The United States Secretary of the Treasury, Bessent, would be delighted that the stalls could increase the demand for US Treasury bills, which helps finance the budgetary position of the United States. Customers this morning.

Here is a snapshot of the markets before the opening bell in New York:

• Future S&P 500 were flat this morning, pre-market, after the closure of the 0.59% index yesterday.
• Stoxx Europe 600 increased by 0.13% at the start of negotiations.
• The FTSE 100 of the United Kingdom increased by 0.23% at the start of negotiations.
• Nikkei 225 from Japan fell 1.51%.
• CSI 300 from China increased by 1.14%.
• South Korea Kospi dropped by 0.68%.
• Nifty 50 of India increased by 0.28% before the end of the session.
• Bitcoin fell to $ 113.9,000.