In this solo commentary, Mark Moss reacts to a recent U.S. Treasury announcement featuring Secretary Scott Bessent, who outlines the passage of the so‑called “Genius Act.” Moss explains that the act will create a U.S. dollar‑backed stablecoin (or digital currency) designed to cement the dollar’s dominance as the world’s primary digital currency, especially as China and Russia rush to launch their own CBDCs. He argues that the stablecoin will serve two strategic purposes: (1) reinforce global dollar usage, countering narratives of the dollar’s demise, and (2) provide a new channel for foreign investors to buy U.S. Treasury debt, helping the Treasury finance its $40 trillion debt burden despite high interest rates and waning foreign demand. Moss warns that while this policy will make the dollar stronger internationally, it also enables the U.S. to raise debt levels and pursue greater monetary debasement, eroding the purchasing power of the domestic currency. He concludes with investment advice, urging viewers to stay long on dollar‑linked assets, questioning whether they are “long enough.”
Chapters
So crypto is supposed to kill the US dollar, but the head of the US Treasury, the Secretary of the US Treasury, just put this announcement out. Check this out. Here we go. There's Scott Bessent, Secretary of Treasury. And what he's basically saying is the Genius Act is going through. What that's going to do is that's going to cement the US dollar's position as the dominant global digital currency in the world. Now this is coming at a very, very opportune time, if you'll call it that. We got China rushing to get out their CBDC, and Russia just announced their CBDC is coming out. I think it's going to— supposed to go into effect in the next couple of weeks. And so they're rushing through this genius act to cement the US dollar's position, the US dollar stablecoin, which will do a couple things. Number one, it's going to continue its dominance globally. So you keep hearing about the death of the dollar and everyone's trying to get away from the dollar, but this is going to cement the position globally. Number two, what it's going to do is we're seeing the buyers— so Scopus Cent's real job is to get people to buy US debt. US debt just hit over $40 trillion, and the, the rates are too high. We can't afford the interest on the debt. So how do we keep— get people to keep buying them? Pay less in rates, well, nobody wants it. We're seeing international buyers have gotten to like a 2-decade low. So if we get stablecoins out across the world, people buy US dollars, the stablecoin companies then buy the US debt. All right, so this is, uh, checkmate. This is a new weapon the US Treasury, the US is going to put through the dollar system. It's going into place. The Genius Act has already passed. It's going through the next couple weeks. Now here's what this means for you. Check it out. So The death of the dollar is greatly exaggerated. The dollar is only going to get stronger. The dominance of the US dollar being used is going to get stronger. But what that means is that strength allows them to now raise, raise the debt levels and bring the trade level down, which means more debasement. So the strength of the dollar being useful around the world, the dominance goes up, but the debasement factor goes up even faster, which means your money is going to buy less and less and less. So you got to get long. Question is, you know, are you long enough?
