Circle stock keeps rising on stablecoin buzz

Circle - or Circle Internet Group, to give it its official name - has turned out to be an exceptionally well-timed stock market float, thanks in no small part to the Trump administration's 'GENIUS' Act.

GENIUS is set to unlock the legal use of dollar-backed 'stablecoins' (crypto tokens designed to mimic the value of real-world currencies) by American financial institutions.

For Circle, which issues stablecoins and operates payments using the dollar-like tokens, interest has been very high.

In New York, on Wednesday, Circle stock was extending gains in afterhours trade, climbing $12.57 or 6.3% after the bell, adding to a 33% gain in regular trading.

Now changing hands above $211, Circle stock is up more than 500% from its IPO price of $31 per share, set back on 5 June when the stock floated on NYSE.

The US Senate this week approved the GENIUS Act, which creates a federal) framework for dollar-backed stablecoins. The bill still needs approval in America's House of Representatives, as well as the president’s signature to become law.

To put it simply, the bill will allow American firms to treat stablecoins as 'digital cash', which will be a boon in particular to the blockchain and fintech sectors.