GENIUS Act Triggers $9 Billion Stablecoin Surge, USDe & USDT Lead

The GENIUS Act has sparked a big boost in the stablecoin market.

On July 18th, US President Donald Trump signed the GENIUS Act into law, marking a big step to make stablecoins official financial products. Backed by strong bipartisan support, the legislation sets clear rules for the industry, including a requirement that all stablecoins must be fully backed by liquid reserves.

The impact was almost immediate. 

Data from CoinMarketCap shows the stablecoin market, now valued at around $276 billion, has grown by $9.11 billion in just 23 days since the Act passed. This rapid rise shows how a clear and favorable regulatory framework can boost both adoption and innovation in the crypto space.

Yield-bearing Coins Lead The Growth

The biggest gains in the stablecoin market are coming from five players.

Leading the pack is Ethena’s USDe, which has surged by $4.19 billion. This rapid growth is largely due to its integration with popular platforms like Aave and Pendle. Since July 18, USDe’s circulating supply has surged 70%, boosting its market cap to the third-largest among all stablecoins. USDe is currently trading at $1, with a circulating supply of $9.7 billion. 

Notably, USDe alone has added $2.7 billion in supply since the GENIUS Act was passed. Anthony Yim, co-founder of Artemis, noted that yield-bearing stablecoins are surprisingly booming after the GENIUS Act, even though the law bans them in the US.

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Tether’s USDT and Sky’s USDS Show Strong Gains

Tether’s USDT follows closely with a $3.71 billion increase, maintaining its strong market presence. USDT has a circulating supply of 164.34 billion tokens, and its 24-hour trading volume is up over 18%, reaching $118 billion.

Sky’s USDS also saw solid growth, rising by $1.30 billion. Since July 18, USDS’s circulating supply has surged to 7.9 billion tokens. 

Paypal and Ripple Join the Rise

PayPal’s PYUSD grew by $146.01 million. Its 24-hour volume is up 90%, surpassing $32 million, with a circulating supply of 1.02 billion PYUSD. 

Ripple’s RLUSD stood fifth as it grew by $102.74 million respectively. Its trading volume is up over 30% in the last 24 hours, with a circulating supply of 620.74 Million RLUSD.

Julio Moreno, Head of Research at CryptoQuant, explained that more investors are turning to USDe and USDS because staking rewards provide a workaround to the GENIUS Act’s restrictions on interest payments, helping these coins expand faster.

Stablecoin Market Could Hit $300 Billion

The stablecoin sector has already grown from $205 billion to $276 billion this year. Moreno believes it could reach $300 billion by the end of the year if the trend continues.

Large companies including JPMorgan, Amazon, and Mastercard are exploring plans to launch their own stablecoins, signaling that the interest goes far beyond the crypto community. 

Meanwhile, other major crypto bills, such as the CLARITY Act and the Anti-CBDC Surveillance State Act, are also progressing through Congress, further strengthening the US position in digital finance.

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