Written by: Cobo
Welcome to read Cobo Stablecoin Weekly Report No. 16.
This week, the U.S. Congress passed three core bills with an overwhelming vote for the first time, and crypto assets entered the federal regulatory system. The (GENIUS Act) establishes stablecoin reserve and redemption rules, the (CLARITY Act) defines market structure, and the (Anti-CBDC Act) restricts central banks from issuing digital currencies. This set of clear and strategic regulatory combinations will open channels for private issuance, delineate the boundaries between the government and the market, and provide a "US template" for global legislation.
Policy clarity has also promoted the accelerated entry of traditional finance. Banks such as Citigroup and JPMorgan Chase have begun to evaluate the issuance of their own stablecoins and list tokenized deposits as a priority. At the same time, the capital market has begun to reassess the fundamentals of on-chain companies. Following Circle's IPO, infrastructure companies with real cash flow, compliance paths, and revenue models may become the next alpha.
Market Overview and Growth Highlights
The total market value of stablecoins is $260.728b (approximately $260.7 billion), a week-on-week increase of $3.69b (approximately $3.7 billion). In terms of market structure, USDT continues to maintain its dominant position, accounting for 61.99%; USDC ranks second, with a market value of $64.068b (approximately $64.1 billion), accounting for 24.57%.
Blockchain Network Distribution
Top Three Networks by Stablecoin Market Value:
Ethereum: $128.832b ($128.8 billion)
Tron (Tron): $81.268b ($81.3 billion)
Solana: $11.342b ($11.3 billion)
Top 3 Networks with Fastest Weekly Growth:
Hedera: +30.93% (USDC accounting for 99.63%)
Hyperliquid L1: +23.27% (USDC accounting for 97.56%)
XRPL: +15.06% (RLUSD accounting for 75.29%)
Data from DefiLlama
US Congress passes three crypto bills, stablecoins officially enter the compliance track
This week, the crypto industry ushered in a key turning point. The US House of Representatives passed three core bills targeting digital assets for the first time with an overwhelming vote, laying the foundation for long-term regulatory clarity.
(GENIUS Act) establishes the rules for reserves, redemption and information disclosure of payment stablecoins, provides a clear compliance path for institutional-level issuance, and has obtained rare bipartisan support, marking that stablecoin regulation is moving from political division to policy consensus. The bill was previously shelved due to the ambiguous expression of 12 Republican congressmen on CBDC. It was finally voted on under direct pressure from Trump and is expected to be signed into formal law on Friday local time.
At the same time, (Clarity Act) sets market structure rules for broader digital assets, attempting for the first time at the federal level to establish demarcation standards for tokenized securities, commodities, and tokens. (Anti-CBDC Surveillance State Act) clearly restricts the Federal Reserve from issuing central bank digital currencies without congressional authorization, reserving space for private innovation.
These three legislations form a highly coordinated regulatory framework: green light for compliant stablecoins, establish clear rules for the digital asset market, and set restrictions on the direct issuance of digital currencies (CBDC) by central banks, which constitute the core expression of American regulatory philosophy - supporting free innovation, opposing government dominance, and emphasizing institutional checks and balances. In the current situation where global regulatory paths are increasingly diverging, the United States may have opened up a "liberal template" with strategic export potential.
Citigroup, JPMorgan Chase, Bank of America involved in the battle, stablecoins enter the bank era
With the legislative advancement of (GENIUS Act), the US banking industry has begun to respond intensively.
Citigroup, Bank of America, JPMorgan Chase, PNC and other leading banks have recently made rare intensive announcements, revealing that they are evaluating the issuance of their own stablecoins, promoting tokenized deposits, and even brewing a "bank alliance stablecoin" cooperation framework. The stablecoin issue has become a necessary response from bank executives to the capital market for the first time, showing that it has a structural impact on the banks' fundamentals.
The occurrence of this transformation is not accidental. The advancement of the (GENIUS Act) not only provides a clear regulatory basis for banks to intervene in stablecoins, but also constructs a "native advantage zone" for banks through institutional design. The bill sets high thresholds for issuers: 100% US Treasury bonds as reserves, monthly audits, and capital requirements. These are burdens for non-banking institutions, but are basic operations for banks. At the same time, banks can also obtain privileges that non-bank issuers do not have - direct access to core clearing systems such as Fedwire and FedNow, unlocking deep integration with the dollar payment network; creating credit under the existing regulatory framework through "tokenized deposits" and continuing its most important profit model; legally paying interest to users and having greater appeal in capital competition. If US Treasury bonds are exempted from SLR in the future, this will further reduce the capital costs of banks.
In addition, the behavior of stablecoin users themselves is eroding the core business of banks. Early stablecoins were regarded as "entry and exit ramps" for temporary exchange between fiat currency and crypto assets. However, more and more corporate customers are choosing to hold USDC and USDT for a long time for supply chain payments and working capital management. This means that funds no longer return to the traditional account system, but sink into the issuer's reserve pool and repeatedly circulate on the chain, causing banks to lose the role of current deposits and settlement intermediaries. Although only about 6% of stablecoins are currently used for traditional fiat currency payments, these use cases have begun to weaken banks' control over corporate customers' funds. When corporate customers become accustomed to using USDC to manage supply chain payments and USDT to realize fund allocation, banks not only lose current deposits, but also lose the possibility of participating in the settlement process.
In response, banks are seeking a counterattack with "tokenized deposits." Taking Citibank as an example, its path is to transform deposit assets into programmable on-chain assets while retaining the regulatory and account system, improving liquidity, compatibility, and customer stickiness, and using this to enter the on-chain financial ecosystem and dominate the compliant stablecoin infrastructure. In the longer term, if tokenized deposits, bank stablecoins, and existing on-chain assets achieve interoperability, the operating logic of cross-currency payment networks will fundamentally change.
After Circle: Which other crypto-native companies have IPO potential?
Stablecoins are becoming the "currency layer of the Internet", and the capital market has begun to reassess their value accordingly. Taking Circle as an example, these companies are no longer classified as banks or SaaS companies, but as efficient and scalable financial infrastructure: revenue depends on reserve interest rate spreads, growth is driven by channels such as Coinbase, but they are responsible for reconstructing the payment network. As the trend of "free" payments accelerates, the difference between the traditional banks' marginal cost of up to 7% and the near-zero cost of stablecoins is being rapidly priced by Wall Street. Circle's share price once surged nearly six times after its IPO, and its market value is close to 70% of the circulating amount of USDC, making it the most dramatic IPO case in terms of valuation repair in recent years. This reassessment marks that stablecoins have been accepted by the mainstream market as compliant financial assets.
After the Circle model was validated, the market began to look for companies with similar elements, that is, those with real cash flow, predictable revenue, a clear compliance path, and a leading position in a specific vertical field.
According to The Block editor Yogita Khatri's interviews with several venture capitalists, judging from the existing trends, the next batch of crypto-native companies with IPO potential are mainly concentrated in four directions: First, trading and brokerage platforms, such as Kraken (which has publicly expressed its intention), Gemini, Bullish (reportedly submitted S-1); Second, custody and settlement infrastructure, such as Anchorage and BitGo, with licensed qualifications and institutional customer base; Third, crypto SaaS service providers for enterprises, such as Chainalysis, Alchemy, Consensys; Fourth, non-US dollar stablecoins and cross-border clearing networks, which are accumulating real cash flow and regulatory adaptation paths.
In addition, some projects with clear structure and diversified revenue also have medium-term IPO potential, including MetaMask (belonging to Consensys), Flashbots (on-chain sorting infrastructure) and DCG (multi-line holding group).
Market Adoption
Game company Snail considers developing a dollar stablecoin to explore the blockchain game economy
Key Takeaways
Listed gaming company Snail Games (SNAL) announced that it is considering developing its own US dollar stablecoin. The company is assessing the technical, legal and financial challenges, and has hired AscendEX founder George Cao as an external consultant;
The company's stock rose briefly after announcing this plan, but the plan is still in the exploratory stage and no specific timeline has been determined;
Snail co-CEO Hai Shi said that stablecoin exploration is a natural evolution of the company's innovation strategy, and will support a broader assessment of how blockchain technology aligns with the company's long-term goals for digital transformation in the entertainment field.
Why It Matters
As the US stablecoin regulatory framework is about to be introduced, not only banks and retail giants such as Walmart and Amazon are exploring the issuance of stablecoins, but the entry of game companies into this ranks shows that stablecoin applications are expanding to more vertical fields. For Snail, integrating stablecoins can realize blockchain game economics, player-driven markets, and cross-border realization without relying on traditional payment channels, which may bring new business models to the game industry.
UK commits to enabling DLT, tokenisation work in wholesale strategy
Key Takeaways
The UK government announced plans to support the identification of the best application scenarios for distributed ledger technology (DLT) in the wholesale financial market and promote asset tokenization solutions, while establishing a cross-market working group to promote practical applications;
The UK Treasury stated that regulators are open to innovative payment forms, including tokenized deposits and new innovations such as stablecoins, and will test the combination of stablecoins and other payment solutions in the new digital securities sandbox;
The UK has released a draft bill for stablecoin issuers and exchanges in April this year, showing its determination to become a crypto center. The global market for tokenizing physical assets has grown by 380% in the past three years, with a scale of $24 billion.
Why It Matters
The UK government's clear support for DLT technology and asset tokenization shows that it is actively competing with the United States for the status of a global crypto innovation center. This move will promote traditional financial institutions to accelerate the application of blockchain technology and create a favorable regulatory environment for physical asset tokenization and the digitization of financial infrastructure.
Citigroup CEO Confirms Bank Is 'Exploring the Issuance of Citi Stablecoin'
Key Takeaways
Citigroup CEO Jane Fraser confirmed in a quarterly earnings call that the bank is "studying the issuance of Citi stablecoins", but the current main focus is still in the field of tokenized deposits;
Fraser emphasized that digital assets are the next stage of digitization of payments, financing and liquidity. Citigroup is deploying in four key areas: stablecoin reserve management, conversion channels between fiat and digital currencies, crypto asset custody services, and tokenized deposits;
Citigroup's research team predicts that the stablecoin market (mainly pegged to the US dollar) may grow to $3.7 trillion by 2030. The bank regards digital assets as the next step in financial digitization after financial technology.
Why It Matters
Citigroup's move reflects the accelerated trend of traditional financial institutions transforming to the digital asset field. As the US regulatory framework gradually becomes clear, more and more banking giants are actively embracing stablecoin technology, which may reshape cross-border payment and settlement systems, providing customers with 24/7, multi-bank, and seamless cross-border solutions, while incorporating compliance, reporting, and accounting functions.
JPMorgan Chase CEO: Will participate in stablecoin development to respond to fintech threats
Key Takeaways
JPMorgan Chase CEO Jamie Dimon said that although he does not understand the appeal of stablecoins, the company will participate in both the "JPMorgan Chase Deposit Coin" and other stablecoin projects in order to "understand it and be good at it";
JPMorgan Chase announced last month that it would launch a limited version of stablecoin for its clients only, which is different from a generally accepted true stablecoin; Dimon believes that not participating may give way to fintech companies;
Citigroup executives also said they are "studying the issuance of Citi stablecoins", believing that the biggest opportunities lie in tokenized deposits and crypto asset custody services; multiple banks may cooperate through the jointly owned Early Warning Services, similar to the previous cooperation to launch Zelle instant payment services to compete with PayPal.
Why It Matters
The entry of traditional banking giants into the stablecoin competition shows that the financial industry recognizes that blockchain payments may be faster and cheaper than traditional ACH and SWIFT systems. This marks the official entry of institutional finance into the crypto field, which may accelerate the mainstream application of stablecoins in the field of payment and settlement, and have a profound impact on the payment ecosystem.
Bank of America CEO confirms that it is developing stablecoins and joining the Wall Street digital asset competition
Key Takeaways
Bank of America CEO Brian Moynihan said on Wednesday that the bank has "done a lot of work" on stablecoin development and plans to launch products when the time is right, but needs to further assess market size and customer needs;
Moynihan hinted that Bank of America may launch stablecoins in cooperation with other companies, rather than acting alone, and will determine the specific timing based on customer needs.
Why It Matters
As the GENIUS Act advances in Congress, Wall Street giants are deploying stablecoins, indicating that traditional financial institutions are actively embracing digital asset innovation. Bank of America's entry into this race will further promote the mainstream adoption of stablecoins and may reshape the competitive landscape in the field of cross-border payments and settlements.
Macro Trend
Standard Chartered Bank: Once the market value of stablecoins reaches $750 billion, it will reshape the US Treasury market
Key Takeaways
Standard Chartered Bank's Head of Digital Asset Research Geoff Kendrick said that once the stablecoin market size reaches about $750 billion, it will begin to reshape Treasury bond issuance, monetary policy and the US Treasury market structure;
Kendrick expects that the stablecoin market will grow at least threefold from the current $240 billion by the end of 2026, driven by regulatory clarity and bipartisan support for the GENIUS Act, which may pass as early as next week;
Since stablecoins are usually backed by equivalent US dollar assets (mainly short-term US Treasury bonds), the expansion of scale will increase the demand for short-term Treasury bonds, which may force the US Treasury Department to adjust the Treasury bond issuance structure and affect the shape of the yield curve.
Why It Matters
The rapid growth of the stablecoin market will redefine global demand for dollar assets, potentially leading to capital outflows from emerging markets and changing corporate cash management methods. The 540% surge in the share price of USDC issuer Circle after its IPO reflects the market's confidence in stablecoins as digital financial infrastructure.
Analysis: Stablecoins are not for US Treasury financing, and may be able to pay tuition fees in Hong Kong in the future, bypassing the SWIFT system
Key Takeaways
Zhu Taihui, a specially appointed senior researcher at the National Institution for Finance and Development, pointed out that it is inappropriate to call 2025 the "Year of Compliance" for stablecoins, and the United States' development of stablecoins is not mainly to alleviate debt, and creating new investment demand for US Treasury bonds is only a side effect;
Some merchants in the United States, Singapore, Europe and other places have supported stablecoin on-site payments. Zhu Taihui predicts that with regulatory openness and technological maturity, places such as Hong Kong may realize the payment of tuition fees with stablecoins in the future;
Zhu Taihui emphasized that stablecoins are essentially different from QQ coins. Stablecoins can circulate globally and can bypass the US-led SWIFT and CHIPS systems and are not controlled by the United States, providing a new channel to circumvent US financial sanctions.
Why It Matters
This view reveals that stablecoins are moving from theory to practical payment applications, not only expanding payment scenarios, but also having the strategic value of bypassing traditional international payment systems, which has important reference significance for China to explore new paths for digital payments.
New Product Express
Privacy protocol Privacy Pools integrates Sky USDS stablecoin, opening up multi-asset privacy pool expansion
Key Takeaways
Privacy Pools, an on-chain privacy solution supported by Ethereum co-founder Vitalik Buterin, announced the integration of Sky's USDS stablecoin, which is the first step in its expansion to "multi-asset privacy pools";
Privacy Pools, developed by blockchain startup 0xbow, uses a zero-knowledge proof mixing network system and "affiliation set provider" technology to ensure that only "clean" funds can enter the pool, providing compliant privacy protection;
This technology originated from a paper co-authored by Buterin and researchers and scholars at Chainalysis. Unlike traditional mixers such as Tornado Cash, Privacy Pools uses "affiliation sets" as gatekeepers to prevent bad funds from entering.
Why It Matters
This integration represents that the crypto field is seeking a balance between privacy and compliance, providing privacy protection for stablecoins through zero-knowledge proof technology while maintaining regulatory compliance. It will support more assets and ecosystems in the coming weeks, and may become an important development direction for privacy solutions in the stablecoin field
Ripple launches XRPL token metadata standard to enhance interoperability of stablecoins and RWA assets
Key Takeaways
RippleX developers launch the XLS-0089d draft standard, which structures metadata for multi-purpose tokens (MPT) on the XRP Ledger, aiming to improve the discoverability and interoperability of tokens among wallets, indexers, and block explorers;
The standard defines a minimal standardized schema for each token's 1024-byte metadata field, including basic information such as token name, code, issuer, category, and icon, while supporting links to deeper off-chain details through external URIs;
The solution designs a clear asset classification system, especially for real-world assets (RWA), providing subcategories such as stablecoins, private credit, real estate, and equity, which facilitates indexers to distinguish different asset support tools.
Why It Matters
This voluntarily adopted backward-compatible standard aims to balance flexibility and machine readability. Although not mandatory, it will significantly improve the visibility and integration of adopters in the XRPL ecosystem, which is particularly beneficial for tools such as cross-chain bridges, on-chain analysis platforms, and institutional-grade wallets, and helps promote the standardized development of the XRP ecosystem and improve user experience.
Capital Layout
Former Coinbase executive founded stablecoin new bank Dakota, received $12.5 million in Series A financing
Key Takeaways
Dakota, a new bank founded by former Coinbase custody business leader Ryan Bozarth, announced the completion of a $12.5 million Series A financing, led by crypto venture capital firm CoinFund, with participation from 6th Man Ventures, Digital Currency Group and Triton Ventures under Kraken;
Dakota, as a stablecoin-driven digital bank, has processed approximately $1.6 billion in transaction volume and is expected to reach $4 billion by the end of the year. It currently has over 500 corporate customers, mainly located outside the United States;
The platform provides checking accounts and deposit yields similar to traditional banks, but the innovation is the use of stablecoins to achieve fund transfers with multiple bank partners, providing dollar account services for overseas customers.
Why It Matters
With large banks such as JPMorgan Chase and Citibank exploring digital asset integration, and crypto companies such as Circle and Ripple applying for banking licenses, Dakota represents a new trend in the integration of crypto and traditional finance, using stablecoin technology to improve cross-border payments and reduce transaction fees. In a gradually clarifying regulatory environment, it opens up new business models for digital banking and stablecoin applications.
Plasma raises $50 million to launch zero-fee stablecoin payment network, valued at $500 million
Key Takeaways
Plasma launched the XPL public token sale on July 17, selling 1 billion XPL tokens (10% of the total supply), aiming to raise $50 million and valuing the project at $500 million. More than 4,000 wallets have participated in the pre-storage activity;
XPL, as the native token of the Plasma blockchain, aims to build a zero-fee, fully transparent fund transfer infrastructure, with the goal of introducing trillions of dollars of stablecoin funds to the chain and providing underlying support for global stablecoin transactions;
The token distribution plan is: 10% for public sale, 40% for ecosystem and growth, 25% for the team (three-year unlocking), and 25% for investors. The validator network will implement a proof-of-stake mechanism with an initial annual inflation rate of 5%, decreasing by 0.5% each year until 3%.
Why It Matters
By combining Bitcoin's security and Ethereum's smart contract functionality, Plasma provides zero-fee solutions for stablecoin transactions. Against the backdrop of a gradually clarifying stablecoin regulatory framework, this model may attract a large number of users and developers seeking low-cost transactions, providing new infrastructure options for the DeFi ecosystem.
Regulatory Compliance
Trump administration promotes crypto payment minor tax exemptions to promote the popularity of digital currency daily payments
Key Takeaways
White House Press Secretary Karoline Leavitt said on Thursday that the Trump administration still supports the de minimis exemption policy for cryptocurrency transactions and will continue to explore legislative solutions aimed at making crypto payments as "simple and efficient as buying a cup of coffee";
The previous crypto minor tax exemption proposal failed to pass the "One Big Beautiful Bill Act" signed by Trump on July 4, which was originally planned to exempt cryptocurrency gains of less than $300 from tax;
Currently, the US Internal Revenue Service (IRS) stipulates that individuals must report all cryptocurrency transactions, whether or not they generate capital gains or losses, which hinders the use of cryptocurrencies in daily small payments.
Why It Matters
The minor tax exemption policy will eliminate the tax barriers that hinder individuals from using cryptocurrencies for daily small payments, promote the actual use of cryptocurrencies as a means of payment, and is consistent with the Trump administration's goal of building the United States into a "crypto capital of the world", which also shows the new government's determination to continue to promote crypto payment-friendly policies.
Wyoming tests Avalanche-based state government stablecoin real-time payment system
Key Takeaways
Wyoming is testing its upcoming state government stablecoin, Wyoming Stable Token (WYST), for real-time payments to government contractors;
The pilot project uses Hashfire's Avalanche blockchain-based Document Authentication Protocol to enable instant WYST payments, shortening the government supplier payment cycle from the usual 45 days to seconds;
Wyoming had previously stated plans to launch this dollar-pegged stablecoin as early as July, and this test prepares it for official release.
Why It Matters
The project represents a significant breakthrough in the adoption of blockchain technology by US government entities, demonstrating how stablecoins can improve the efficiency of government fiscal systems and significantly shorten payment cycles, which may provide a template for other state and federal agencies to innovate public sector payments, while setting a benchmark for the application of blockchain in government affairs.
China's Ministry of Industry and Information Technology promotes the integration of stablecoins and industrial digital assets research, introducing financial institutions to participate
Key Takeaways
The China Industrial Internet Research Institute recently held the "Stablecoin and Industrial Digital Asset Seminar" to discuss key issues such as stablecoin policy supervision, industrial digital asset transformation, and the integration of RWA (Real World Asset Tokenization) and the Industrial Internet;
Representatives from the Information Technology Development Department of the Ministry of Industry and Information Technology attended the meeting to guide, showing the official attention to the application of digital assets in the industrial field;
The meeting attracted experts from financial institutions such as Guoxin Securities, Softbank Asia Venture Capital, and Fosun Fortune International, indicating that financial capital is actively paying attention to investment opportunities in the field of industrial digital assets.
Why It Matters
This seminar marks a new stage in China's exploration in the field of stablecoins and industrial digital assets. Official institutions are gradually promoting the integration of traditional industries with blockchain and digital asset technology, which may provide policy guidance for industrial asset tokenization and digital finance, and have guiding significance for the combination of industrial Internet and financial innovation.
FSB Chairman Bailey lists stablecoins as a priority before the G20 meeting
Key Takeaways
Andrew Bailey, the new Chairman of the Financial Stability Board (FSB) and Governor of the Bank of England, said in a letter to the G20 that assessing the role of stablecoins in payments and settlements will be a priority for the FSB;
Bailey emphasized that the FSB should continue to implement the agreed stablecoin regulatory recommendations and monitor the development of various jurisdictions. This statement was issued before the upcoming two-day G20 meeting;
The FSB has been monitoring this area since it proposed monitoring stablecoin rules in 2021. Bailey recently warned global investment banks not to develop their own stablecoins, believing that this may weaken credit creation and monetary policy control.
Why It Matters
As the US Senate passes the Stablecoin Bill GENIUS and the stablecoin market reaches new highs, global regulators are increasing their focus on stablecoins. The FSB, as a global financial stability coordination institution, has listed stablecoins as a priority, indicating that an international regulatory framework is accelerating, which may affect future stablecoin policies in various countries.
The Federal Reserve, FDIC, and OCC jointly issued a statement clarifying the rules for banks to hold customer crypto assets
Key Takeaways
The Federal Reserve, FDIC, and OCC jointly issued a statement confirming that banks can provide crypto asset custody services, but must strictly comply with existing laws and regulations and strengthen risk management;
The statement requires banks to conduct comprehensive risk assessments and controls on crypto asset key management, third-party custody relationships, network security measures, compliance and anti-money laundering, etc.;
Banks need to ensure that relevant personnel have the necessary technical capabilities, improve the content of customer agreements, and conduct regular internal and external audits to ensure the safety of customer crypto assets.
Why It Matters
Although this statement does not establish new regulatory requirements, it clarifies the compliance standards for traditional banks to participate in crypto asset custody business, paving the way for banks to provide crypto-related services, which is expected to promote further integration of traditional finance and the crypto industry.
Ripple plans to apply for a MiCA license to expand the EU market
Key Takeaways
Payment solutions company Ripple confirmed plans to apply for a European Crypto Asset Market Regulation Act (MiCA) license to expand its cryptocurrency and stablecoin business in the European Economic Area;
Ripple registered Ripple Payments Europe S.A. in Luxembourg at the end of April this year, and has reportedly applied for a Luxembourg electronic money institution license, but the company has neither confirmed nor denied this report;
Luxembourg is becoming a center for crypto companies seeking MiCA compliance, and several well-known institutions such as Coinbase, Bitstamp and Standard Chartered Bank have obtained crypto asset service provider licenses in the country.
Why It Matters
Ripple's seeking a MiCA license indicates that the company is actively expanding into regulated markets. Europe's clear regulatory framework attracts more and more crypto companies to establish compliance businesses, which may promote the mainstreaming of crypto payments in Europe, while strengthening Ripple's competitive position in the global payment field.
Circle applies to establish the first US digital currency bank, focusing on USDC trust and institutional services
Key Takeaways
Circle has submitted an application to the US Office of the Comptroller of the Currency (OCC) and plans to establish the first US digital currency bank institution focusing on digital currency;
The new bank will not provide traditional banking services, but will focus on USDC stablecoin-related trust functions, reserve management, and providing crypto asset custody services for institutional clients;
This move is an important step for Circle to seek deeper integration of financial infrastructure under the US regulatory framework, aiming to provide a more solid regulatory foundation for its USDC stablecoin business.
Why It Matters
Circle's move marks a key step in the transition of stablecoin issuers to the traditional financial system. If approved, it will create a precedent for digital asset companies to obtain banking licenses, significantly increase the institutional adoption rate and compliance of USDC, and pave the way for the integration of stablecoins and traditional financial systems.
