Bessent says crypto can fortify the dollar as a technology umbrella

Key points

• He said more than 90% of stablecoins are backed by US dollars, with issuers often holding Treasury securities as reserves.
• After Congress failed to pass the CLARITY Act, Bessent said Treasury could work with the SEC and CFTC on rules and guardrails against debanking.

US Treasury Secretary Scott Bessent said digital assets could help fortify the dollar's global dominance, arguing that technological leadership now matters as much as military strength to a reserve currency. Speaking on Tuesday at Ripple's Swell conference with CEO Brad Garlinghouse, he described a widening split between US and Chinese technology ecosystems and said countries will face choices over whose systems they adopt.

Bessent said the administration's push to bring crypto businesses onshore fits that contest. He cited the GENIUS Act, which set federal rules for stablecoins, and argued that dollar-backed tokens spread US currency into countries where local money is unstable.

On regulation, Bessent called Congress's failure to pass the CLARITY Act a disappointment but said the Treasury Department has convening power and could work with the SEC and CFTC, which he called great partners, to build a framework other countries might copy. Rules set by agencies would lack the permanence of legislation.

Bessent also addressed debanking, the industry's complaint that banks cut off crypto firms, sometimes allegedly under regulatory pressure.

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