Circle's IPO Faces Regulatory Challenges

Edited by: Yuliya Shumai

On June 29, 2025, Circle Internet Group, the issuer of the USDC stablecoin, experienced market fluctuations following its recent IPO. The company's stock initially rose but has since corrected as investors re-evaluated its valuation. This followed the Senate's passage of the GENIUS Act on June 17, 2025, which aims to regulate stablecoins.

The GENIUS Act, designed to integrate digital assets into the traditional financial system, still awaits approval from the House of Representatives as of June 29, 2025. Simultaneously, the Federal Housing Finance Agency (FHFA) directed Fannie Mae and Freddie Mac to consider incorporating cryptocurrency into mortgage loan risk assessments.

Circle's market capitalization exceeds $43 billion, with sales of $1.7 billion last year and a net income of $155.7 million. Investors should monitor the progress of the GENIUS Act and other regulatory changes, as these will significantly impact the company's future. (Source: June 29, 2025)

Sources

  • Yahoo! Finance

  • Senate passes crypto regulations, sends to House without addressing Trump's investments

  • The crypto industry's complex policy game

  • A backup plan

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