Alexander Deschatres, head of sponsor responsibility for Asia at Standard Chartered, said stablecoins could mitigate the negative impact of the Federal Reserve's rate cuts on Treasuries and money market tokens. "The $170 billion stablecoin supply is equivalent to a sum of money that can be converted into money market tokens and treasury security tokens, potentially providing a cushion against the negative impact of the Fed's rate cuts," said Alexander DeShatres. He believes that according to Fed funds futures, the market currently expects a 100 basis point rate cut this year, which means that the benchmark borrowing cost will fall to 4.5% by the end of the year. However, this is an attractive yield compared to passively holding stablecoins.