Deutsche Bank AG indicates that the potential for the United States to develop USD-denominated stablecoins could help preserve the dollar's global dominance, a possibility that "should not be overlooked."

Deutsche Bank AG strategist Mallika Sachdeva wrote in a report that "stablecoins appear to be America's answer to defending the dollar's position in the global payment system, representing a choice for private sector solutions rather than central bank digital currencies."

She noted: "The dollar's share in central bank reserves has been declining, while competition in global payments has intensified. USD correspondent banking faces disruptions from new technologies, geopolitical competition, and alternative payment systems."

Currently, there exists a degree of mistrust among enterprises.

She wrote, "To date, enterprise adoption of stablecoins has been limited, requiring overcoming skepticism about the monetary properties of stablecoins."

"A significant increase in the use of USD stablecoins in cross-border payments could pose challenges to Europe's efforts to promote euro internationalization."