The stock of stablecoin issuer Circle Internet Group has been setting new records daily, surging 530% compared to its IPO price just two weeks after going public.
According to The Block on the 19th (local time), Circle's stock (ticker CRCL) closed at $199.59 on Wednesday's trading, rising 33.8% from its opening price of $153.22.
According to The Block data, CRCL closed at $199.59 on Wednesday's trading, rising 33.8% from its opening price of $153.22. Yahoo Finance reported that it recorded its highest-ever trading volume of 63.5 million shares that day and additionally rose 6% in after-hours trading.
Circle's stock price has risen approximately 530% from its IPO listing price of $31 on June 5th. The passage of the United States Stablecoin National Innovation Roadmap and Establishment Act (GENIUS Act) in the Senate on Tuesday, which aims to establish a comprehensive regulatory framework for stablecoins, may have contributed to Circle's stock surge. The bill is now moving to the House of Representatives, with Donald Trump urging its swift passage and saying "bring it to my desk as quickly as possible".
The GENIUS Act vote also led to a 16% surge in Coinbase's stock on Wednesday.
CRCL's strong performance not only reflects investor confidence in stablecoins, which have seen increased interest from major banks and big tech companies this year, but also suggests a favorable market for other cryptocurrency companies like Gemini and Kraken, who are considering going public in 2025.
Circle issues USDC, the second-largest dollar-pegged stablecoin after Tether's USDT, with a market capitalization of $61.4 billion, making it the 7th largest cryptocurrency. According to The Block's data dashboard, USDC accounts for 25% of the total stablecoin supply of $243 billion as of June 19th.
USDC use cases are expanding across the cryptocurrency industry, with Ripple's XRP Ledger adopting USDC and Coinbase Derivatives presenting a roadmap to use USDC as collateral for US futures trading by 2026.
As USDC usage increases, broad interest in the stablecoin industry has surged this year. Retail giants like Walmart and Amazon are considering launching their own stablecoins, and the stablecoin USD1, issued by World Liberty Financial connected to Trump, was previously reported by The Block to have been used to finalize a record $2 billion investment by an Abu Dhabi investment company in cryptocurrency exchange Binance.
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