The past week has proven to be a significant period for the cryptocurrency sector. A notable development occurred when the Senate advanced a legislative proposal aimed at creating a federal framework for dollar-pegged cryptocurrencies, commonly referred to as stablecoins. This proposal, known as the GENIUS Act, still requires approval from the House of Representatives and the President, but its rapid progress has been celebrated by the crypto community as a pivotal step toward facilitating broader adoption of stablecoins within conventional financial systems.
In the wake of this legislative momentum, shares of Circle (CRCL), the company behind the world’s second-largest stablecoin, USDC, experienced a remarkable 80% increase over the week, culminating in a price that is roughly eight times higher than its initial public offering (IPO) price on June 5. Coinbase Global (COIN), a major U.S. cryptocurrency exchange and a key partner of Circle, also benefited from this positive trend, with its stock climbing 27% during the same period. Coinbase holds a minority stake in Circle and generates revenue from Circle’s USDC transactions.
In a surprising turn, SRM Entertainment (SRM), a lesser-known theme park merchandise provider based in Winter Park, Florida, saw its stock surge approximately 661% after announcing a collaboration with the cryptocurrency platform Tron. This partnership involves SRM’s plans to purchase Tron tokens, rebrand itself as Tron Inc., and appoint Tron founder Justin Sun as an adviser.
President Trump also expressed enthusiasm for the developments in the crypto sphere. Following the Senate’s passage of the GENIUS Act with a 68-30 vote, he referred to the bill as “an incredible initiative that will position America as the UNDISPUTED Leader in Digital Assets.” The president’s optimism can be attributed to the increasing number of wins for the cryptocurrency industry in Washington, particularly as he and his family have strengthened their involvement with the sector. Various enterprises associated with Trump have explored ventures ranging from the creation of memecoins and dollar-backed stablecoins to bitcoin mining.
Recently, Trump Media and Technology Group (DJT) announced a $2.5 billion fundraising initiative aimed at acquiring cryptocurrencies, with the SEC granting effective status to issue equity and debt for purchasing and holding bitcoin. In an updated financial disclosure, Trump revealed that he earned $57 million last year from his ownership of tokens associated with World Liberty Financial, a decentralized finance initiative where he and his sons serve as advisers. This venture, led by CEO Zach Witkoff, the son of the president’s Middle East envoy, launched a stablecoin earlier this year, which was selected as the payment method for a $2 billion fundraising effort for crypto exchange Binance, whose founder, Changpeng Zhao, has reportedly sought a pardon.
Earlier this month, the SEC announced the dismissal of an ongoing civil enforcement action against Binance and Zhao, which was initiated in June 2023 over alleged securities violations. Additionally, Tron founder Sun has emerged as a prominent supporter of two crypto initiatives linked to Trump. As the largest holder of Trump’s memecoin, Sun attended a private dinner hosted at Trump’s golf course in Virginia last month and previously invested $75 million into World Liberty tokens.
The recent success of cryptocurrencies in Washington, highlighted by President Trump’s involvement and the passage of the GENIUS Act, has been hailed as a watershed moment by industry leaders. Yat Siu, executive chairman of Animoca Brands, a Hong Kong-based crypto developer, stated that this bill signifies the integration of digital assets into the financial landscape. He emphasized that the bipartisan support for the legislation provides stablecoin issuers—including banks, technology firms, and gaming companies—with the opportunity to innovate under a clear regulatory framework.
The Trump administration has signaled its intent to foster the growth of the stablecoin market. Treasury Secretary Scott Bessent informed lawmakers that this legislation could potentially expand the U.S. stablecoin market to over $2 trillion by the end of 2028. The GENIUS Act mandates that companies issuing stablecoins must hold $1 in cash or short-term U.S. Treasuries for every $1 worth of stablecoins they distribute, which is anticipated to drive increased demand for U.S. debt instruments. Recent analyses from Standard Chartered and Morgan Stanley estimate that the current U.S. Treasury holdings within the stablecoin market range between $166 billion and just under $200 billion.
However, the bill has faced criticism from some quarters. Certain Democrats, including Senator Elizabeth Warren, have voiced concerns over their inability to introduce amendments aimed at enhancing consumer protections—specifically, measures to prevent the president and his family from maintaining business connections that could benefit from the legislation. “The GENIUS Act contains significant loopholes that allow major tech companies and large retailers to create their own private currencies structured as stablecoins,” Warren remarked before the bill’s passage. “This legislation should not proceed without amendments to mitigate these risks.”
Jeremy Allaire, the CEO and co-founder of Circle Internet Group, which issues one of the largest stablecoins, was seen shaking hands with co-founder Sean Neville outside the New York Stock Exchange on the day of their IPO on June 5, 2025.
