The GENIUS Act won't save the dollar

[NotATether]

The US dollar may be in trouble (when it wasn't), but I have no doubt that they (the US) and their allies still have a few tricks up their sleeves.

The "tricks" are just a money printer. And selling more bonds onto the market which affect the price of older bonds which are sold by making them go up or down!

These two simple items have allowed the US dollar exchange rate to be generally stable, even while the M2 money supply continues to skyrocket.

[Abiky]

For what reason do you call Russia gigantic in any sense? That country has been waging an aggressive war for three years and, despite all its attempts, has failed to achieve its goals - and realistically, it would already be economically bankrupt if it were not for the help of countries like North Korea, Iran, China and India.

BRICS is just an idea, but it is far from something that can function successfully in reality, regardless of the countries that are in it. The US, EU, UK, Japan, Canada and some other countries are still very strong economic forces that you can't just ignore and pretend they don't exist.

The US dollar may be in trouble (when it wasn't), but I have no doubt that they (the US) and their allies still have a few tricks up their sleeves.

I meant "gigantic" in the sense that Russia is the country with one of the largest oil reserves in the world. Believe it or not, oil is still a desirable commodity. Russia's been able to finance its war by selling oil to its allies. Geographically, it's one of the largest countries within BRICS. Same as China.

With rising opposition against the West, the large number of countries joining BRICS might eventually displace the USD's place as the world's reserve currency. Not sure if USD-backed stablecoins would be any help. Especially with "de-dollarization" going full-speed ahead. We'll see what happens in the long run.

[shinratensei_]

The US dollar may be in trouble (when it wasn't), but I have no doubt that they (the US) and their allies still have a few tricks up their sleeves.

The "tricks" are just a money printer. And selling more bonds onto the market which affect the price of older bonds which are sold by making them go up or down!

These two simple items have allowed the US dollar exchange rate to be generally stable, even while the M2 money supply continues to skyrocket.

Apparently it's very effective, most of stablecoin issuer back their stablecoin with bonds, even there are RWA projects offering stablecoin backed by bond and yield bearing on top of that which I heard prohibited form GENIUS act.
They see the stablecoin market as a good way to absorb the bond and they took the opportunity. The GENIUS act gonna push that further by requiring high quality asset such as bond. Even if it won't save dollar, it will absorb the impact.

[Lucius]

The US dollar may be in trouble (when it wasn't), but I have no doubt that they (the US) and their allies still have a few tricks up their sleeves.

The "tricks" are just a money printer. And selling more bonds onto the market which affect the price of older bonds which are sold by making them go up or down!
These two simple items have allowed the US dollar exchange rate to be generally stable, even while the M2 money supply continues to skyrocket.

What you say is correct, but it should not be ignored that the US is still the strongest military power in the world, which (unfortunately) still has a large military presence everywhere and many countries simply do not want (or cannot) get out of their grip. This is also one of the reasons why the USD is still held as the world's reserve currency.

I meant "gigantic" in the sense that Russia is the country with one of the largest oil reserves in the world. Believe it or not, oil is still a desirable commodity. Russia's been able to finance its war by selling oil to its allies. Geographically, it's one of the largest countries within BRICS. Same as China.

It's true, they have oil and gas, the only question is how long the world will be dependent on oil as its main energy source. China imports Russian oil and gas, but at the same time huge amounts of money go into renewable energy sources, while at the moment India buys the most oil, which shows that they don't care that they are financing Russian aggression.

However, it should be said that the EU also has its black sheep who continue to buy oil and gas from Russia (Hungary and Slovakia officially), and I would not rule out the possibility that oil finds its way to some other countries via the huge fleet of Russian tankers that continue to pass through despite the sanctions.

With rising opposition against the West, the large number of countries joining BRICS might eventually displace the USD's place as the world's reserve currency. Not sure if USD-backed stablecoins would be any help. Especially with "de-dollarization" going full-speed ahead. We'll see what happens in the long run.

They will certainly try, but the question is how successful they will be. The world has already become greatly polarized, and that will never be good for the world economy. In case the West says stop to China, to whom will they sell their cars, smartphones and all the other things they produce? The richest markets are still in the West and no one can deny that.