TREE NEWS update: US Treasury Secretary Scott Bessent said Tuesday that the dollar remains strong as a reserve currency, telling a congressional hearing that growth in global transaction volumes reflects the credibility of the US system and the current administration’s policies. “A strong dollar is not a price on a screen; it is a reflection of a set of behaviors,” Bessent said, citing regulatory, tax, trade and energy certainty that he said is drawing trillions of dollars into the United States. He noted that while countries such as Russia have cut their foreign reserves, others are still actively adding to them.
Bessent Says Strong Dollar Rests on Credibility, Policy Certainty
Bessent's framing shifts the dollar debate from exchange-rate levels to institutional credibility, which matters for RWA and tokenized-asset markets that ultimately settle in dollar rails. The implicit contrast with reserve-diversifying countries is the notable signal: official-sector demand for dollar exposure is being presented as uneven rather than uniformly eroding. Whether that framing holds up against actual reserve-composition data, and how it squares with the administration's own trade and tariff posture, is the open question worth watching.
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