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Circle Internet, Coinbase Jump as Senate Clears Stablecoin Bill
Circle Internet stock jumped 18% in Wednesday morning trading after the U.S. Senate approved a milestone stablecoin bill, marking a significant step toward regulatory clarity for the crypto sector.
The bipartisan approval represents a potential turning point for cryptocurrency regulation, particularly benefiting Circle as the issuer of USDC, the second-largest stablecoin with a market value of approximately $61.4 billion.
Coinbase shares also rose 10% on the news, while traditional payment giants Mastercard and Visa both fell 2%, suggesting investors see the legislation as potentially disrupting established payment networks.
Circle, which went public earlier this month on the New York Stock Exchange, saw its shares reach $175 in morning trading, substantially higher than its IPO price of $31. The company’s flagship product, USDC stablecoin, offers the convenience of cryptocurrency without its characteristic volatility by maintaining a value pegged to the U.S. dollar and backed by reserves.
Before becoming law, the bill, known as the GENIUS Act, must still pass the Republican-controlled House of Representatives and receive President Donald Trump’s signature. The legislation comes as major retailers including Walmart and Amazon have reportedly been exploring issuing their own stablecoins in the U.S. market.
The Senate’s approval signals growing mainstream acceptance of stablecoins, which have evolved from a niche product to an increasingly important component of the digital payments landscape.
This article has been published in investing.com via Yahoo News.
