Circle Skyrockets as Senate Passes GENIUS Act, Paving Path for Stablecoin Regulation
Circle (NYSE: CRCL) shot up 34% on Wednesday and tacked on another 6% in after-hours trading after the U.S. Senate approved the GENIUS Act — legislation poised to transform stablecoins into officially recognized digital cash equivalents.
By the close of trading, Circle’s shares stood at $199.59, peaking at $211.87 after hours. The crypto firm’s stock has now surged more than 540% since going public on June 5, making it one of the fastest-growing crypto equities on record.
The GENIUS Act, short for Guiding and Establishing National Innovation for U.S. Stablecoins, sets out rules for how U.S. firms can issue and manage fiat-backed stablecoins for payments. While the bill still needs approval from the House and President Donald Trump’s signature, the Senate vote highlights growing bipartisan consensus for stablecoin regulation in the United States.
Circle CEO Jeremy Allaire described the development as a historic milestone on social platform X, stating it will bolster American competitiveness in digital assets.
“History is being made, as the US Senate passes the GENIUS Act, taking us one step closer to breakthrough legislation being signed into law that will drive US economic and national competitiveness for decades to come.”
— Jeremy Allaire (@jerallaire)
Meanwhile, President Trump voiced strong backing for the bill on Truth Social, declaring it key to securing America’s leadership in the digital asset arena.
“The Senate just passed an incredible Bill that is going to make America the UNDISPUTED Leader in Digital Assets — Nobody will do it better, it is pure GENIUS. Digital Assets are the future, and our Nation is going to own it.”
— President Donald Trump
Circle, the company behind USDC — the second-largest stablecoin by circulation — has long advocated for clearer rules governing digital dollars. Wednesday’s rally underscores investors’ confidence that Circle could emerge as the primary winner if stablecoins are formally regulated as digital cash.
Trading activity in Circle’s shares exploded, with volume exceeding 60 million shares — nearly double the average. CRCL traded between $148 and $200.89 during the session, pushing the firm’s market capitalization above $48 billion, placing it ahead of several traditional payments giants.
Analysts at Bernstein, who recently initiated coverage on Circle, said the GENIUS Act could shift stablecoin innovation back to U.S. soil, drawing activity away from offshore issuers.
“The bill clearly defines stablecoins as payment stablecoins,” said analyst Gautam Chhugani, “bringing their legal treatment closer to digital cash and paving the way for widespread use beyond crypto-native markets.”
