The U.S. stablecoin law enacted in July 2025 may significantly alter the financial landscape, increasing liquidity by trillions of dollars and impacting Bitcoin and other assets.
Impact of the Law on Liquidity and Banks
Arthur Hayes, former CEO of BitMEX, claims that the U.S. stablecoin law could lead to a liquidity increase of $6.8 trillion. The legislation will allow U.S. banks, such as JPMorgan Chase, to issue stablecoins on a large scale, substantially changing the financial landscape. An increase in U.S. Treasury bond demand is expected with this liquidity influx.
Predictions for Bitcoin and Market Changes
The increase in liquidity may initially lower Bitcoin prices but is expected to exert upward pressure in the long term. Hayes likens this to 'shadow QE', channeling funds through commercial banks. The legislation could reshape financial strategies, leading to enhanced market activity and a shift in stablecoin dynamics.
Key Comments from Arthur Hayes
Arthur Hayes noted: 'Stablecoins are being weaponized as a ‘liquidity weapon’... These assets, backed by U.S. dollars, serve as a conduit for major financial institutions to purchase massive amounts of government debt without needing the Federal Reserve to engage in quantitative easing.'
The introduction of the new U.S. stablecoin law may be a turning point for financial markets, facilitating changes in liquidity structure and opening new opportunities for Bitcoin and traditional banks.
