Circle (NYSE: CRCL) shares have significantly risen after the U.S. Senate passed the GENIUS Act, creating the first federal regulatory framework for stablecoins.
Historic Passage of GENIUS Act
The U.S. Senate passed the GENIUS Act with a decisive 68-30 bipartisan vote, marking a watershed moment for the $250 billion stablecoin market. The bill must now clear the House and be signed by President Donald Trump, with expected passage by the end of summer. Circle's CEO Jeremy Allaire stated that the legislation would drive U.S. economic and national competitiveness for decades.
Circle's Market Growth and USDC
Circle issues USDC, the world's second-largest stablecoin with a market capitalization of approximately $61 billion. The company's stock has soared over 540% since its IPO priced at $31. On Wednesday, trading volume for Circle reached a record of over 60 million shares, nearly double the average daily volume. Circle's market capitalization now exceeds $48 billion, surpassing several major payment companies.
Institutional Interest and Market Dynamics
Despite ARK Invest selling $44.7 million of Circle shares, the broader institutional community remains bullish on the company's long-term prospects. The stablecoin sector has seen significant growth in 2025 due to increased institutional adoption and regulatory clarity, with Circle's compliance-focused strategy setting it apart from competitors.
The passage of the GENIUS Act strengthens Circle's position in the stablecoin sector, likely leading to further stock growth and positive institutional investment in the future of digital payments.
