Stablecoin Market Cap at ATH, David Sacks Hints at Clear Regulation

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Stablecoins: The New Gold Rush or Just Fool’s Gold? 💰

Ah, the cryptocurrency market, that delightful circus where investors are flinging their hard-earned cash into stablecoins like they’re throwing peanuts at a particularly well-trained elephant. 🐘 And why, you ask? Because nothing says “I’m ready for volatility” quite like a stablecoin, which, as it turns out, is about as stable as a three-legged chair on a rollercoaster.

According to the oracle known as CoinMarketCap, the total value of stablecoins is teetering on the edge of an all-time high, a staggering $250 billion. This is all thanks to a steady rise since January, which is a bit like saying the sun rises every day—remarkable, but not exactly groundbreaking.

Leading this merry band of digital coins is Tether’s USDT, galloping ahead with a market cap of $152.4 billion. Circle’s USDC is trailing behind like a slightly confused puppy at $61 billion. 🐶

Now, as the demand for stablecoins skyrockets, Bitcoin, that ever-elusive digital gold, has decided to join the party, reaching a new ATH of nearly $112,000 earlier today. Meanwhile, the global crypto market cap is basking in the glow of a local high of $3.52 trillion—just a casual $200 billion shy of its ATH from mid-December 2024. No pressure, right?

Can the GENIUS Act Bring Trillions? 🤔

Enter David Sacks, the White House’s crypto and AI czar, who is as optimistic as a cat in a room full of laser pointers. He believes that the GENIUS Act (Giving Equitable National Interest to US Stablecoins) will not only increase the demand for US Treasuries but also make it easier for the government to borrow money. Because who doesn’t love a good loan, especially when it comes with low interest rates?

With 15 Democrats joining the Republicans in a bipartisan love fest over the GENIUS Act, it seems like everyone is suddenly on board. On May 20, Coinspeaker reported that some Democratic Senators—Mark Warner, Adam Schiff, and Ruben Gallego—have done a complete 180, flipping from opposition to enthusiastic support. It’s like watching a political dance-off, and everyone’s suddenly got the moves.

The GENIUS Act promises a clear regulatory framework for stablecoins, which is a fancy way of saying that only regulated fintech companies and banks will be allowed to issue them. Because nothing says “trust us” like a bunch of regulations, right?

But wait, there’s more! It’s not just the US trying to cash in on the stablecoin craze. On May 21, Hong Kong’s Legislative Council decided to join the fun by passing a bill that allows institutions to apply for stablecoin issuance licenses through the Hong Kong Monetary Authority. It’s like a crypto buffet, and everyone’s invited!

And in South Korea, Lee Jae-myung, a democratic presidential candidate, has proposed the creation of a won-backed stablecoin. Because if you’re going to have a stablecoin, why not back it with something as stable as a won? (Just kidding, we love you, won!)

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2025-05-22 15:51