Gold-backed stablecoins will outcompete US dollar-pegged alternatives worldwide due to gold's inflation-hedging properties and minimum volatility, according to Bitcoin (<a href="https://cointelegraph.com/bitcoin-price" rel="noopener noreferrer nofollow" target="null">BTC</a>) maximalist Max Keiser.
Keiser <a href="https://x.com/maxkeiser/status/1903479950121869755" rel="noopener noreferrer nofollow" target="_blank">argued</a> that gold is more trusted than the US dollar globally and said governments of foreign nations with an adversarial relationship to the United States would not accept dollar-pegged stablecoins. The BTC maximalist added:
<blockquote>
 "Russia, China, and Iran are not going to accept a US dollar stablecoin. I predict they will counter the USD stablecoin with a Gold one. China and Russia have a combined 50,000 tonnes of Gold — more than what is reported."
</blockquote>
The potential for gold-backed stablecoins to outcompete dollar-pegged tokens in international markets would upend plans to <a href="https://cointelegraph.com/news/united-states-dollar-stablecoins-alleviate-us-debt-crisis-former-speaker" rel="noopener noreferrer nofollow" target="null">extend US dollar dominance through stablecoins</a> proposed by US lawmakers.
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 <img alt="Dollar, Gold, Fiat Money, Max Keiser, Stablecoin" src="https://s3.cointelegraph.com/uploads/2025-03/0195bfaa-1e33-7da8-8cf8-b192c4eda801" title="">
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 Source: <a href="https://x.com/maxkeiser/status/1903479950121869755" rel="noopener noreferrer nofollow" target="_blank">Max Keiser</a>
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Related: <a href="https://cointelegraph.com/news/govt-realize-gains-gold-certificates-buy-bitcoin-bo-hines" rel="noopener noreferrer nofollow" target="null">Gov’t can realize gains on gold certificates to buy Bitcoin: Bo Hines</a>
<h2 id="gold-backed-stablecoins-fulfill-the-original-promise-of-usd">Gold-backed stablecoins fulfill the original promise of USD?</h2>
Stablecoin issuer <a href="https://cointelegraph.com/news/tether-launches-gold-backed-stablecoin-dollar-alloy" rel="noopener noreferrer nofollow" target="null">Tether launched a gold-backed stablecoin</a> called Alloy (aUSD₮), <a href="https://cointelegraph.com/explained/what-is-tethers-gold-backed-stablecoin-alloy-ausd" rel="noopener noreferrer nofollow" target="null">backed by Tether's XAU₮</a> — a token that provides a paper claim to physical gold — in June 2024.
<a href="https://x.com/gaborgurbacs/status/1903488111352451076" rel="noopener noreferrer nofollow" target="null">According</a> to PointsVille founder and former VanEck executive Gabor Gurbacs, "Tether Gold is what the dollar used to be before 1971."
“XAU₮ is up 15.7% year-to-date, while the broad crypto market is in the red. Foundations and businesses should hedge their holdings with XAU₮,” the executive wrote in a March 19 X <a href="https://x.com/gaborgurbacs/status/1902376282794426643" rel="noopener noreferrer nofollow" target="null">post</a>.
<figure>
 <img alt="Dollar, Gold, Fiat Money, Max Keiser, Stablecoin" src="https://s3.cointelegraph.com/uploads/2025-03/0195bfaa-f995-71ea-a8de-fd817e373eaf" title="">
 <figcaption style="text-align: center;">
 XAUT is now at all-time highs following a historic rally in the gold market. Source: <a href="https://x.com/gaborgurbacs/status/1902376282794426643" rel="noopener noreferrer nofollow" target="_blank">Gabor Gurbacs</a>
 </figcaption>
</figure>
<h2 id="us-policymakers-have-a-different-idea">US policymakers have a different idea</h2>
United States Treasury Secretary Scott Bessent said that the Trump administration would focus on using dollar-pegged stablecoins to <a href="https://cointelegraph.com/news/us-stablecoins-ensure-dollar-hegemony-scott-bessent" rel="noopener noreferrer nofollow" target="null">protect the dollar's reserve currency status</a> and ensure US dollar hegemony in global financial markets.
Speaking at the March 7 White House Crypto Summit, Bessent indicated that this stablecoin regime would be a top priority for the administration.
Federal Reserve governor Christopher Waller also voiced similar comments and expressed support for using <a href="https://cointelegraph.com/news/stablecoins-boost-us-dollar-global-reserve-currency-fed-governor" rel="noopener noreferrer nofollow" target="null">stablecoins to prop up the US dollar</a> before Bessent made the remarks at the summit.
US lawmakers have also introduced several stablecoin bills to establish a comprehensive regulatory framework for tokenized fiat assets, including <a href="https://cointelegraph.com/news/us-stablecoin-bill-regulation-dollar-dominance" rel="noopener noreferrer nofollow" target="null">the Stable Act of 2025</a> and the <a href="https://cointelegraph.com/news/senator-hagerty-genius-stablecoin-bill" rel="noopener noreferrer nofollow" target="null">GENIUS stablecoin bill</a>.
Magazine: <a href="https://cointelegraph.com/magazine/unstable-coins-de-pegging-bank-runs-other-risks-2023/" rel="noopener noreferrer nofollow" target="null">Unstablecoins: Depegging, bank runs and other risks loom</a>

Gold-backed stablecoins will outcompete USD stablecoins — Max Keiser

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