Jeremy Allaire, CEO of Circle Internet Group, the issuer of one of the world’s biggest stablecoins, and Circle co-founder Sean Neville pose outside the New York Stock Exchange (NYSE), on the day of the company’s IPO in New York City, U.S., June 5, 2025.
NYSE
Shares of Circle and Coinbase rallied on Wednesday, as Wall Street cheered the Senate’s passage of the GENIUS Act, which would establish a federal framework for U.S. dollar-pegged stablecoins.
Circle, the issuer of the USDC stablecoin, rose 22% following the passing of the bill late Tuesday. It’s the continuation of a remarkable run for Circle’s stock since the company held its stock market debut on June 5. The shares are trading at about $180, up almost sixfold from their $31 IPO price.
Coinbase, which co-founded USDC and shares in 50% of its revenue with Circle, gained more than 10%. Stablecoins have become Coinbase’s biggest revenue driver after trading, with stablecoin-related income surging 50% year-over-year in the first quarter.
The GENIUS Act, short for the Guiding and Establishing National Innovation for U.S. Stablecoins Act, allows private companies to issue stablecoins under strict guardrails, including full reserve backing and monthly audits.
It represents the crypto industry’s first major legislative win, but still has to get signed into law. The bill now heads to the House, which has its own version of a stablecoin bill dubbed STABLE. Both prohibit yield-bearing consumer stablecoins, but diverge on who regulates what.
The Senate version centralizes oversight with Treasury, while the House splits authority between the Federal Reserve, the Comptroller of the Currency, and others. Reconciling the two could take a while, especially as House Republicans weigh attaching a broader market structure package, according to congressional aides.
If the GENIUS Act becomes law, it could pave the way for explosive growth in the nearly $260 billion stablecoin market, and drive more revenue to key infrastructure players like Circle and Coinbase.
Coinbase earns 100% of the interest on USDC held directly on its platform. CEO Brian Armstrong has said he wants USDC to overtake Tether as the world’s top stablecoin.
“If you can get shared economics, I don’t see why we wouldn’t see more of these banks partnering with USDC,” Armstrong said last month, calling stablecoins a major pillar of Coinbase’s long-term growth.
