A new form of cryptocurrency called “stablecoins” has exploded onto the global financial scene. Created just over ten years ago, the industry’s expected growth sets it on a path to rival some of the largest players in finance. Analysts expect it to grow to $1.6 trillion by 2030, which would make it roughly equivalent in value to the total assets held currently at Citibank.

To explain stablecoins’ meteoric rise, most analysts have pointed to the self-dealing ways of the Trump administration. President Donald Trump has frequently used the presidency for his own personal benefit, and cryptocurrency is no exception. In May of 2025, the Trump family launched a stablecoin (USD1) through their cryptocurrency company World Liberty Financial. Just two months later, Congress passed the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, providing a regulatory framework for stablecoins and unleashing a torrent of investment into the sector. After the acts’ passage, USD1 grew to nearly a $3 billion market cap in a few months — lining the Trump family’s pockets to the tune of $412 million.

The Trump administration’s corruption is an important factor in explaining the government’s support of the stablecoin industry. Yet as an analytical lens, it has its limits. How, for example, do we explain the fact that the GENIUS Act passed through both houses of Congress with veto-proof, bipartisan support? There was something that compelled many Democrats — even some of President Trump’s harshest critics like Senators Adam Schiff, Cory Booker, and Kirsten Gillibrand — to vote for the bill.