Europe’s largest asset managers are threatening to fire alarms, erode dollar control and destabilize global money flows on a massive scale as US-regulated stubcoins surge.
The global role of the US dollar challenged by a surge in regulated stubcoins
A drastic change in global financial dynamics could be caused by a US push, regulating dollar-backed stub lines and ignite the fear of financial instability around the world. Amundi, Europe’s largest asset manager, raised concerns that it would exceed 2 trillion euros ($2.36 trillion) on managed assets and passed the US Senate Genius Act on July 3 – a bill to establish monitoring of US Dolerpegg’s crypto tokens.
Amundi’s chief investment officer, Vincent Mortier, told Reuters that the bill “can be a genius or a evil,” expressing skepticism about its potential consequences. This could stimulate greater demand for US financial liabilities, as the Genius Act requires these assets to be fixed in US dollars. Mortier warned that this trend could backfire, saying:
By doing so, you create an alternative to the US dollar, which could lead to weakening of the dollar.
“If the country is pushing for something stupid, that can be perceived if you push the message that the dollar isn’t that strong,” he said.
In June 2025, the guidance and established national innovation (genius) law of the US passed the Senate successfully. The legislation aims to create a comprehensive federal framework to increase financial stability, enhance consumer protection and promote innovation within the digital asset space. The Genius Act is currently set to a pivotal house vote in mid-July.
While US policymakers primarily assert geniuses, they act as a strategic move to solidify the US dollar’s outstanding position in the evolving digital economy, global institutions like Amundi have made certain subtle concerns clear. As Mortier emphasized, despite the explicit requirement for Stablecoins to be locked to the US dollar, the act could subtly reduce the unique global status of the dollar, which could contribute to the overall weakening. For example, JPMorgan will project a Stablecoin cycle that will reach $500 billion by 2028. This rapid expansion of the stable digital currency market, over 90% of the stable, occurs outside the US, bringing up complex questions about the complex issues of global financial management.
