Circle Internet Corp. (CRCL), the prominent stablecoin issuer, saw its stock surge 9.47% in pre-market trading on Friday, continuing its remarkable upward trajectory since its initial public offering (IPO). This latest jump comes on the heels of a significant legislative development that has sent ripples through the cryptocurrency sector.
The catalyst for this pre-market rally is the US Senate's recent passage of the GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins Act). This landmark legislation, which still needs to clear the House of Representatives, aims to establish a federal regulatory framework for U.S. dollar-pegged stablecoins. The bill's passage has ignited optimism in the crypto industry, particularly for stablecoin issuers like Circle.
Circle's performance since its IPO on June 5 has been nothing short of extraordinary. In just two weeks, the company's stock has skyrocketed by an astounding 597% from its initial offering price, reflecting robust investor confidence in Circle's future prospects. The company's USDC stablecoin, which already boasts a circulating supply of $61.4 billion, is well-positioned to benefit from the potential expansion of the stablecoin market under the new regulatory framework. Some bullish projections suggest that USDC could eventually manage trillions of dollars in cash, underscoring the significant growth potential in the stablecoin sector.
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