Circle's Stock Soars After Senate Passes Stablecoin Legislation, Fueling Investor Confidence
A significant rally in Circle's shares follows the U.S. Senate's approval of a bill aimed at integrating regulated stablecoins into the financial system, reflecting the company's strong potential in upcoming digital payment frameworks.
Circle’s stock jumped 34% following the U.S. Senate’s passage of a pivotal bill that supports regulated, dollar-backed stablecoins, with further gains of 6% in after-hours trading.
The GENIUS Act, still pending House approval and the President’s signature, aims to incorporate stablecoins into the broader U.S. financial landscape.
Since its public launch on June 5, Circle’s stock has increased more than 540%, demonstrating significant investor interest in its future within digital payments.
On Wednesday, Circle shares closed at $199.59, peaking at $211.87 during after-hours trading. This remarkable growth reflects how quickly a cryptocurrency stock can rise.
The GENIUS Act stipulates how domestic firms can issue and manage stablecoins as fiat-backed payment options. Although it is expected to receive considerable bipartisan backing, it still requires a definitive vote in the House and approval from President Trump.
“History is being made,” said Circle CEO Jeremy Allaire via social media, describing the legislation as a key to enhancing American competitiveness.
Translation: “History is being made.”
In a recent post on Truth Social, Trump stated that this bill could position the United States as the “undisputed leader in digital assets.”
“The Senate just passed an incredible Bill that is going to make America the UNDISPUTED Leader in Digital Assets — Nobody will do it better, it is pure GENIUS,” Trump stated in his post. “Digital Assets are the future, and our Nation is going to own it.”
Translation: “Digital Assets are the future, and our Nation is going to own it.”
Circle, the issuer of USDC, currently ranks as the second-largest stablecoin globally by circulating value, and the recent increases showcase the strong belief that Circle will be the main advantage holder if the U.S. adopts stablecoins as equivalent to cash.
Trading volume for CRCL surmounted 60 million, roughly double the average. The stock fluctuated between $148 and $200.89 throughout the day, bringing its market capitalization beyond $48 billion, which surpasses several traditional payment processors.
Analysts at Bernstein noted that the bill’s guidelines would likely reintegrate stablecoin innovation within U.S. regulations while stemming activity from offshore issuers. They characterized the new bill as fundamentally establishing stablecoins as digital cash, facilitating widespread acceptance beyond cryptocurrency-focused systems.
Read more: Compliant Stablecoins Will Become the ‘Money Layer of the Internet:’
