Standard Chartered executive: Stablecoins can alleviate the negative impact of Fed rate cuts on government bonds and the Token market.

According to Jinse Finance, Alexander Deschatres, the sponsor responsible for the Asian region at Standard Chartered Bank, said that stablecoins can alleviate the negative impact of the Fed's interest rate cuts on the bond and coin markets. "The $170 billion supply of Stable Coin is equivalent to a fund that can be converted into coin market tokens and Treasury bond tokens, which could provide a buffer against the negative impact of a rate cut by the Federal Reserve," said Alexander Deshateres. According to federal funds futures, the market currently expects a 100 basis point rate cut this year, which means that the benchmark borrowing cost will drop to 4.5% by the end of the year. However, compared to passively holding Stable Coin, this is an attractive yield."