Stablecoin giant Circle ($CRCL) is up nearly 18% at the time of writing after lawmakers reached a weekend compromise on the CLARITY Act, which is a crypto market structure bill that preserves some stablecoin reward programs. The updated language blocks crypto firms from paying savings-account-like interest on passive stablecoin deposits, thereby leaving that role mainly to traditional banks. However, it still allows rewards tied to user activity, such as trading, transactions, or staking. That distinction matters because rewards have been a major reason users hold stablecoins like USDC (USDC-USD).
The news also lifted several crypto stocks. Coinbase ($COIN), the main distributor of Circle’s USDC, gained more than 7%, while BitGo ($BTGO) and Galaxy Digital ($GLXY) rose 10% and 3%, respectively. Bitcoin was little changed near $79,000, even after briefly topping $80,000 over the weekend for the first time since January. For Circle and Coinbase, the revised bill is a relative win because it protects usage-based incentives. Still, smaller crypto platforms that depend on high-yield deposit products could face more pressure.
Nevertheless, the change points to a crypto industry that is moving away from yield-driven products and more toward financial infrastructure. Bank of America ($BAC) called the compromise a net positive for banks, with five-star analyst Ebrahim Poonawala saying it could ease deposit-flight concerns, reduce uncertainty, and let banks engage with digital assets on more controlled terms.
Is CRCL Stock a Good Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on CRCL stock based on 11 Buys, six Holds, and one Sell assigned in the past three months, as indicated by the graphic below. Furthermore, the average CRCL price target of $136.56 per share implies 16% upside potential.
