Circle Stock Surges 34% to New High After Senate Passes GENIUS Act

Circle’s stock, CRCL, experienced a significant surge, climbing 34% and closing at $199.59 on June 18. This increase marked a new all-time high for the company, reaching $200.90 during the trading session. The new price peak is approximately 6.5 times the company’s initial public offering price of $31, which was set on June 5.

The price leap occurred just one day after the Senate advanced the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act with a 51–23 vote, clearing the bill for House consideration. Circle CEO and co-founder Jeremy Allaire celebrated the approval, stating that “history is being made” and that signing the GENIUS Act into law will drive US economic and national competitiveness for decades to come.

House Financial Services Committee staff indicated that scheduling discussions for the bill will begin the following week, though no floor date has been announced. Supporters aim to send the legislation to the President before the August recess. The vote was viewed as a catalyst for the sector, with Coinbase’s COIN shares adding 14%, while Robinhood’s HOOD advanced 4.5% and registered a new all-time high at $78.35.

The GENIUS Act sets a framework for stablecoins, requiring payment stablecoin issuers to hold reserves equal to outstanding tokens. These reserves are restricted to cash or short-dated Treasuries, and yield payments are barred. The bill mandates segregated accounts and orders the Treasury Department to release quarterly audit templates. It also grants the Commodity Futures Trading Commission limited oversight of spot markets.

Issuers with more than $10 billion in liabilities would need a federal charter, while smaller firms could operate under qualifying state regimes. Circle, which issues USDC, the second-largest dollar-pegged stablecoin, earns interest on Treasuries backing USDC and already retains those earnings. This positions Circle to comply with the GENIUS Act without altering its revenue model. Coinbase shares in that reserve income through a distribution agreement tied to balances custodied on its platform.

Circle’s close on June 18 lifts its market capitalization above $48 billion, ranking the new listing among the year’s strongest performers on the New York Stock Exchange. The significant price increase and the passage of the GENIUS Act are expected to have a lasting impact on the stablecoin sector, driving innovation and ensuring regulatory compliance.