BloFin Research: The Surging U.S. Treasury Yield: Can Stablecoins Help?
BeInCrypto
Stablecoins drive demand for short-term U.S. Treasury bills but cannot address the structural challenges of long-term bond yields.Summary
Stablecoin growth creates a persistent bid for short-term U.S. Treasury bills, helping the government manage rollover risk as it shifts toward short-duration financing. However, stablecoins are restricted by liquidity requirements to short-dated assets and cannot resolve the broader issues affecting long-term 10-year and 30-year bond yields. Compressing these long-end yields depends on external factors, including foreign buyer engagement, energy price stability, and fiscal policy, rather than the front-end support provided by digital assets.
(Source：BeInCrypto)