The media obsesses over Trump’s tariff policies and his fixation on trade surpluses. But what if this is all just a massive smokescreen, designed to hide the real objective? Analyst Sung Sang-hyun argues that we are missing America’s true endgame.
According to his analysis, the U.S. goal isn’t simply to sell more goods. It’s to reignite a stalled economy by dramatically increasing the velocity of money—the speed at which it circulates—not just the total supply (M2). And the engine for this explosive change? Stablecoins.
This isn't just another economic policy. This is the prelude to a grand scenario, a plan to completely rewire the global financial system and re-establish the United States as an unchallengeable hegemon. Let's dive into the stunning strategy of how America plans to use the "digital dollar" to reshape the world order.
Why America Was Forced to Rewrite the Rules
To understand this grand design, we first have to answer a simple question: Why? Superpowers don't make moves this big on a whim. Behind every major strategic shift lies a desperate imperative. So, why is the U.S. so compelled to reset the global chessboard, even using a trade war as a diversion?
The answer is in the numbers. In the 1960s, the U.S. economy was an undisputed titan, accounting for 40% of global GDP. Today, that share has dwindled to around 25%. Historically, once a hegemon's share of global GDP falls below 20%, its status begins to falter. This isn't a matter of pride; for America, it's a five-alarm fire. This is about survival.
History gives us a mirror to see how America has acted in past moments of crisis. Look back to the 1940s. After winning World War II, the U.S. was left with astronomical debt. Instead of tightening its belt to pay it off, America chose the opposite path: a daring strategy of using growth and inflation to "melt away" the weight of its debt. By massively expanding the entire economic pie (GDP), the ratio of its debt naturally shrank. It was a creative and audacious solution.
GDP is calculated as the Money Supply (M) multiplied by the Velocity of Money (V). For decades, when faced with a crisis, America has pulled only one lever: increasing M via the central bank. The belief was simple: lower interest rates and flood the market with liquidity through quantitative easing (QE), and the economy will revive. But in the 21st century, this old engine has sputtered and stalled, falling into three fatal traps.
Trap #1: The Asset Bubble
The trillions of dollars printed by the central bank didn't flow into factories and main street businesses. Instead, they got stuck in giant reservoirs: stocks, real estate, and crypto. This created rampant "asset inflation" without real economic growth, fueling a K-shaped recovery that dramatically widened the gap between the haves and have-nots. With money piling up in the coffers of the few instead of circulating, the economy's lifeblood—the velocity of money (V)—plummeted.
Trap #2: The Zombie Economy
Near-zero interest rates didn't just help innovative companies grow; they also became a lifeline for inefficient "zombie companies" that should have failed. The healthy process of "creative destruction" vanished. Productivity stagnated as capital flowed not to productive enterprises, but to merely keeping the undead alive. The economy was hooked on a painkiller that masked a deepening sickness.
Trap #3: The Law of Diminishing Returns
Critically, the medicine stopped working. The first round of QE shocked the system and staved off collapse. But with each subsequent round, the impact on the real economy became weaker. The market grew addicted to ever-stronger doses of liquidity, but the central bank found itself in a trap: it was printing massive sums of money for diminishing returns in actual growth.
America finally realized it. The old playbook of just increasing the money supply (M) was broken. To escape the traps of asset bubbles, economic zombification, and policy impotence, it had to find a way to spin the wheel that had ground to a halt: the velocity of money (V). This grim reality is why the U.S. started looking at a radical new card to play.
The Game Changer: America's Secret Weapon is Stablecoins
So, with the old engine (M) stalled, how would the U.S. revive the collapsed velocity of money (V)? While everyone was watching the Federal Reserve, America was preparing a tool we all recognize, but repurposed for a revolutionary new role: Stablecoins.
You might be skeptical. "Crypto coins?" But Sung Sang-hyun's analysis shows how they are being reborn as a strategic tool of hegemony. Their overwhelming advantage comes down to one word: speed. While the velocity of the traditional U.S. dollar languishes around 1.3, the velocity of stablecoins regularly hits between 10 and 40.
Why Are Stablecoins So Fast?
This staggering difference in speed comes from two key factors:
Technological Infrastructure: The traditional dollar moves through the sluggish, multi-day SWIFT network. Stablecoins move in real-time on a 24/7 blockchain. Transactions are settled almost instantly, meaning capital is never "stuck in transit."
Purpose ('Saving' vs. 'Transacting'): A huge portion of traditional money (M2) sits dormant in bank accounts as a 'store of value.' In contrast, stablecoins are primarily a 'medium of exchange' used relentlessly for trading, lending (DeFi), and other transactions within the digital asset ecosystem. They were born to move.
Recognizing this potential, America is using this game-changer to achieve two strategic objectives at once.
Effect #1: The Growth Engine to Awaken a Sleeping Economy
First, stablecoins will revolutionize the speed of the real economy. In the near future, all assets—real estate, art, commodities—will be tokenized (Real World Assets or RWA) and traded 24/7. The currency that can settle these transactions instantly across borders and outside banking hours is the stablecoin. This will trigger an explosion in the velocity of money (V), restarting the engine of the American economy.
Effect #2: The New Moat to Defend the Dollar Empire
The second effect is the true masterstroke. This is America's checkmate move.
Today, about 50% of global trade is settled in U.S. dollars, the foundation of its reserve currency status. But here is the even more astonishing reality: 99% of the global stablecoin ecosystem is pegged to the U.S. dollar. The dollar's dominance in the digital world is near-absolute, far exceeding its dominance in the analog world. And this is the foundation upon which America is building its grand plan.
What happens as the world increasingly uses these "digital dollars"? To guarantee their value, issuers like Tether and Circle must purchase an equivalent amount of U.S. Treasury bonds as backing.
Think about what this means. As the entire world transitions to a digital economy, a massive, stable, and automatic global demand for U.S. debt is created. America will no longer need to worry about whether countries like China or Japan will keep buying its bonds. It will have secured an "infinite magazine" to fund its strategic priorities—AI, semiconductors, re-shoring—at will.
This is more than a technological upgrade. It is the installation of a new operating system for the global financial system, centered on the dollar. It is the beginning of a 'Digital Dollar Standard'—the successor to the gold standard and the Bretton Woods system. It is the digging of a new, unbreachable moat around the dollar empire.
The Era of 'Selective Growth': Time to Identify the True Winners
Now, all the pieces fit together. The Trump administration's noisy trade war was a smokescreen to obscure the real pivot. Behind the scenes, America recognized the limits of its analog dollar empire and began building a new one with its secret weapon: stablecoins.
We must understand the new rules of this game. The combination of accommodative monetary policy from the Fed and expansionary fiscal policy from the government means the overall money supply (M2) will continue to grow. The base liquidity in asset markets is likely to remain strong.
But here is the critical difference: unlike in the past, that expanded money supply (M) will be directed like a 'powerful fire hose' toward specific targets, pulling the velocity of money (V) up with it. The era of "a rising tide lifts all boats," where indiscriminate liquidity boosted all assets, is over. We are entering an era of 'selective growth,' where only a few assets, hand-picked by government strategy, will experience explosive gains.
Therefore, simply investing in the market index is no longer enough. The true "growth stocks" will be the 'chosen few'—companies that ride the wave of strategic government support. Our investment compass must point directly at them:
AI & Semiconductors: The brain and nervous system of the new era. They are the heart of the productivity revolution and the most critical chokepoint for technological supremacy.
Robotics & Automation: The only solution to reshoring manufacturing and solving the labor shortages of an aging population. They are the key engine for America's industrial renaissance.
The market is demanding that we separate the wheat from the chaff. Now is not the time to be shaken by short-term volatility. It is the time to identify the core assets that will benefit most from this government-led paradigm shift and get on board.
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