#BigTechStablecoin

Stablecoins are a type of crypto asset that is tied to the value of another asset, such as the US dollar or gold. They were initially created as a way for crypto investors to store their money but have grown in popularity in recent years for their use in digital payments.

The US Senate is already deliberating the GENIUS Act which stands for “Guiding and Establishing National Innovation for U.S. Stablecoins of 2025.”

The landmark bill would provide a boost of legitimacy to the crypto industry and is another example of how cryptocurrencies have had a major revival under President Donald Trump’s second term.

Proponents of crypto have welcomed the focus on advancing stablecoin regulations. Yet critics have pointed to the Trump family’s ties to the crypto industry: For example, World Liberty Financial, a company tied to the Trump family, has issued its own stable coin.

While cryptocurrencies are known for being volatile and fluctuating in value, stablecoins are supposed to be, as their name suggests, stable.

This is because stablecoins are pegged one-to-one to another asset. They are most often linked to the US dollar, making one stablecoin worth $1.

Companies that issue stablecoins are meant to hold reserves of other assets to back their coins and assure buyers about their value. For example, a company issuing stablecoins pegged to the US dollar could hold cash or cash-equivalent assets like short-term US government bonds.

Two of the major stablecoin issuers are El Salvador-based Tether, which issues USDT, and US-based Circle, which issues USDC — and both of these stablecoins are pegged one-to-one to the dollar.

Tether’s stablecoin has a market value of just under $154 billion and accounts for 62% of the total stablecoin market, according to data from CoinMarketCap.

Circle’s stablecoin has a market value of about $61 billion and accounts for roughly 25% of the total stablecoin market, according to data from CoinMarketCap.

The total market value of stablecoins surged from $20 billion in 2020 to $246 billion in May 2025