#USStablecoinBill As of May 5, 2025, the U.S. stablecoin market is experiencing significant developments. The total market capitalization has reached an all-time high of $242.98 billion, marking a 19.5% increase since the beginning of the year.

In the political arena, a bipartisan stablecoin regulation bill faces challenges in the U.S. Senate. Nine Senate Democrats have withdrawn their support, citing concerns over anti-money laundering provisions and potential conflicts of interest, particularly related to the Trump-affiliated USD1 stablecoin.

USD1, launched by World Liberty Financial, a company linked to Donald Trump, is under scrutiny after being used in a $2 billion investment deal with Abu Dhabi-based MGX into Binance.

Meanwhile, leading stablecoins like Tether (USDT), USD Coin (USDC), and DAI continue to maintain their pegs close to $1. Notably, Tether and USDC have collectively frozen over $1.3 billion in assets in cooperation with law enforcement, doubling the amount frozen in the previous year.

These developments underscore the dynamic nature of the stablecoin market and the ongoing debates surrounding its regulation.