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2/🧵 The rise of stablecoins in the U.S. debt market signals trust in digital currencies at an institutional level. It's a shift that could stabilize the crypto market, as issuers maintain reserves in stable assets like U.S. Treasury bonds.

3/🧵 However, the intertwining of stablecoins and traditional finance isn't without risks. Critics point to potential systemic dangers and the sustainability of relying on stablecoin issuers to support the U.S. debt market amid rising national debt.
https://inleo.io/@opheliaa/a-new-powerhouse-in-us-debt-markets-jf