Donald Trump runs a “silent and consistent war” in the Federal Reserve, not by direct confrontation, but by reforming the basis of the American macro -economic policy, according to Nigel Green.
Green, the CEO of Financial Advisory firmeree Group, said in a statement to Crypto.News that the rates of US President Donald Trump dominate the headlines, while two are overlooked strategies that are central to the president’s economic playbook: Stablecoins and cheap oil.
“They are the Twin tools of the Trumpian macro -economy: digital monetary dominance and physical price suppression,” says Green.
Stablecoins as a weapon of monetary dominance
Green sees the rise of proceeds-bearing stablecoins, digital dollar assets that generate interest from Tokenized Treasury accounts, as a cornerstone of Trump’s second-term economic agenda.
These stablecoins do more than reflect the value of the US dollar. They create a new demand for the Greenback by offering proceeds to holders in all types of sizes, ranging from retail investors, decentralized financial platforms and institutions.
“This is transforming,” Green explains. “It means that everyone-including retail users, global investors, Defi-platforms and dollar-based may have to be active that interests interest, often and seamlessly.”
The strategy serves three goals, according to Green:
- Stimulating the demand for American treasuries, to support the American debt market as a shortage of balloon.
- Interest rates, a long-term Trump goal, by stimulating the yield by market-based mechanisms instead of policy.
- Cementing the dominance of the dollar as the digital reserve currency of the future.
Oil as a lever of inflation control
Although Stablecoins represent a digital strategy, oil remains the most famous economic tool for Trump.
Green argues that Trump sees cheap oil, not only as an economic stimulus, but as a weapon for inflation control. By urging lower prices, through increased domestic production, diplomatic pressure and market influence, Trump wants to keep operating costs low and reduce the need for the central bank’s intervention.
“Cheap oil feeds everything,” says Green. “It is inflation control due to brutal strength.”
Bypass the Fed
By manipulating both demand (digital yield) and supply (energy prices), Trump creates an alternative system of macro -economic management, a system that circumvents the traditional tools of the Federal Reserve.
“He doesn’t relieve Jay Powell,” concludes Green. “He builds up a parallel system. It is remarkably coherent.”
As the 2024 election cycle intensifies, these strategies can offer an example of how Trump can reform the US monetary policy without ever changing the leadership of the FED.