TL;DR
- Bessent defended the U.S. economy by citing that the dollar participates in 89.2% of global foreign exchange market transactions.
- Most stablecoins are denominated in dollars, a fact the Treasury Secretary used as an argument in favor of the national currency’s strength.
- Saudi Arabia withdrew from mBridge, the China-backed digital payments platform, though its departure is considered a symbolic victory for Washington.
U.S. Treasury Secretary Scott Bessent moved to counter a recent report by the New York Times that highlighted structural risks in the country’s financial position.
In a post on X, Bessent drew on data shared by conservative commentator Lawrence Kudlow to argue that the dollar maintains an unshakeable position of global dominance.
.@larry_kudlow in @NewYorkSun gets it right. Here are the facts:
The dollar was on one side of 89.2% of global FX trades.
Foreign investors still hold enormous amounts of U.S. assets. The principal stablecoins are dollar-denominated. Treasury buybacks are about adding…
— Treasury Secretary Scott Bessent (@SecScottBessent) September 20, 2026
Bessent: the Strength of the Dollar Under Pressure
Bessent’s central argument rests on two pillars. First, that the dollar appears on one side of 89.2% of foreign exchange market transactions worldwide. Second, that the overwhelming majority of stablecoins in circulation are pegged to the USD, deepening the greenback’s influence across the crypto asset ecosystem.
To those figures he added domestic macroeconomic data: median household income at record levels, the official poverty rate at a historic low, sustained employment growth, and a GDP estimate for the third quarter of 5.1% annualized, according to the Atlanta Federal Reserve.
The context in which the Secretary makes these statements is equally significant. U.S. Treasury bond yields have reached multi-year highs, with the 10-year rate touching 5%. Against that backdrop, the Treasury Department has carried out long-term bond buybacks, drawing criticism from analysts who accuse Bessent of attempting to artificially suppress yields. The Secretary rejects that reading and argues that the operations are aimed at improving liquidity and managing the maturity structure of a market exceeding $30 trillion.
Saudi Arabia’s Withdrawal from mBridge
Bessent also cited Saudi Arabia’s departure from mBridge, the cross-border digital payments platform backed by China, as a signal of support for dollar dominance. However, as the Financial Times reported, Riyadh explained that its participation concluded after completing a planned proof of concept in May 2025. The platform continues to expand in other regions, making the Saudi withdrawal a political win for Washington rather than evidence that the project is in decline.
