Miran Discusses Stablecoins' Impact on U.S. Monetary Policy

TLDR

• Stablecoin adoption could reach $1 trillion to $3 trillion by 2030.
• U.S. Treasury market may see increased demand from stablecoin issuers.
• Stablecoin growth could boost dollar asset demand significantly.

Federal Reserve Governor Stephen Miran has addressed the impact of stablecoins on U.S. monetary policy at a recent summit. The speech, delivered in early November 2025 at the BCVC Summit NYC, highlighted the growing importance of stablecoins such as USDT and USDC in the financial sector.

As noted by Miran, stablecoins could become a significant factor for central bankers. He suggested that growth in stablecoin adoption could increase to between $1 trillion and $3 trillion by the decade's end, affecting U.S. monetary policy.

Stablecoin Adoption and Economic Implications

Stephen Miran, who previously served as Chair of the Council of Economic Advisers, outlined how stablecoin growth could increase the net supply of loanable funds and impact interest rates. This institutional demand for stablecoins might significantly influence U.S. monetary policy.

Regulatory clarity, achieved through frameworks like the GENIUS Act, facilitates a rapid rise in stablecoin issuance. The Federal Reserve's internal projections estimate potential additional demand for U.S. dollar-denominated assets due to stablecoin growth could be substantial.

Impact on Financial Markets and Assets

Miran pointed out that the U.S. Treasury market might experience increased institutional demand as a result of stablecoin issuers holding dollar-backed assets. This is because assets like U.S. Treasuries could serve as backing for the growing pool of stablecoins.

While no on-chain data was provided in Miran's speech, the projected increase in stablecoin issuance could substantially boost total value locked (TVL) in decentralized finance (DeFi) and cross-chain bridges. This could affect trading volumes of cryptocurrencies like Ethereum (ETH) and Bitcoin (BTC), as they are frequently traded against stablecoins.

Potential for Broader Economic Effects

The GENIUS Act, supporting regulatory clarity, is designed to promote institutional demand for stablecoins. This growing demand could reshape liquidity flows without direct government funding.

While there were no explicit statements found from notable figures such as Arthur Hayes or Vitalik Buterin regarding this speech, the community and developer sentiment towards Miran's comments appears positive, recognizing the implications for stablecoin trading and DeFi liquidity.

Long-term Considerations for Cryptocurrency Markets

Federal Reserve projections suggest that stablecoin holdings may propel an additional trillion-dollar demand for U.S. dollar assets, particularly U.S. Treasuries, by 2030. This increase could drive further strengthening of the U.S. dollar as global demand rises via stablecoin use.

The developments mentioned by Miran are aligned with past regulatory movements, such as the 2021 OCC guidance on stablecoin reserves, which resulted in a temporary surge in stablecoin minting and on-chain liquidity increases.

Technological and Market Influences

Key tokens likely to be impacted include stablecoins like USDT, USDC, DAI, and their protocols. DeFi platforms using stablecoins, such as Aave, Compound, and Uniswap, could also be influenced by changes in stablecoin usage.

No recent public releases from financial regulatory bodies such as the SEC or CFTC were available regarding Governor Miran's speech. The direct implications on cryptocurrencies, including Ethereum and Solana, remain significant as stablecoins are widely traded on these platforms.