The US Senate’s approval of a major stablecoin bill sent the stocks of cryptocurrency exchange Coinbase and stablecoin company Circle skyrocketing.
Senate Passes Stablecoin Regulation
The Senate voted 68-30 in favor of the “Guiding and Establishing National Innovation for U.S. Stablecoins Act” (GENIUS Act). This bipartisan bill aims to create a regulatory framework for stablecoin companies. Key provisions include requiring full asset backing for stablecoins, monthly reserve transparency, and yearly audits for companies managing over $50 billion in assets.
Senator Cynthia Lummis, a crypto-friendly Republican, celebrated the bill’s passage, suggesting it moves the US closer to becoming a global hub for digital assets. She called for further legislation to solidify this position.
Coinbase and Circle Stock Surge
Following the Senate vote, Circle’s stock price jumped a massive 33.82%, closing at $199. This is particularly significant as Circle, the company behind USDC (the second-largest stablecoin), only recently went public with an IPO price of $31. Coinbase also saw substantial gains, with its stock rising 16.32% to close at $295.29.
What’s Next?
The bill now heads to the House of Representatives for consideration. Presidential approval will be needed before it becomes law.
Disclaimer: This information is for general knowledge only and does not constitute financial advice. Investing in cryptocurrencies is risky, and you could lose money. Always do your own research before making any investment decisions.
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