Stablecoin Supply Exceeds $250B as US Senate Passes GENIUS Act
The total stablecoin supply has surpassed $250 billion for the first time, driven by Tether’s USDT and Circle’s USDC, which together account for 86% of circulation. Yield-bearing issuer Ethena (ENA) has grown rapidly, supplying nearly $6 billion since launch. Over $120 billion of US Treasuries are now held in stablecoins, reflecting market recovery from the 2022 Terra collapse and 2023 USDC de-peg and buoyed by the introduction of US spot crypto ETFs. The US Senate’s 68–30 approval of the GENIUS Act establishes federal reserve standards, audits and oversight for stablecoins, paving the way for broader bank and fintech adoption. Following the vote and former President Trump’s endorsement (including his $TRUMP token push), Circle’s stock jumped 34% to a record $199.59 (peaking at $211.87 after hours), while Coinbase announced USDC collateral acceptance in US futures markets. Traders forecast short-term volatility but see the legislation as a major catalyst for long-term institutional integration of digital dollars.
Bullish
The combined news of supply hitting $250B and the Senate’s GENIUS Act approval is bullish for stablecoins, especially USDC and USDT. Regulatory clarity reduces issuer risk, encouraging institutional adoption and boosting demand. Circle’s stock rally and Coinbase’s USDC collateral announcement signal positive market sentiment. While traders anticipate short-term volatility post-legislation and token endorsements, long-term integration into banking and futures markets underpins a stronger, more liquid digital dollar ecosystem.