USDT and USDC Lead Stablecoin Market to Record $220 Billion Amid Crypto Resurgence

The stablecoin market has reached an unprecedented milestone, with its total market capitalization hitting a record $220 billion in May 2025. This surge underscores renewed investor confidence in digital assets, as stablecoins like Tether (USDT) and Circle’s USDC continue to dominate as the primary fiat gateways. The growth in their supply suggests that capital is positioning for deeper involvement in the crypto ecosystem. Alongside this, transaction volumes have seen a significant uptick, jumping 15% month-over-month to $1.2 trillion in April, further highlighting the broader market recovery. This development marks a pivotal moment for the cryptocurrency sector, signaling robust demand for stable assets amid evolving market dynamics.

Stablecoin Market Cap Hits Record $220 Billion Amid Crypto Recovery

The stablecoin market capitalization surged to an all-time high of $220 billion in May 2025, signaling renewed confidence in digital assets. This milestone reflects a broader market recovery, with transaction volumes jumping 15% month-over-month to $1.2 trillion in April.

Tether (USDT) and Circle’s USDC continue to dominate as the primary fiat gateways, with their growing supply suggesting capital is positioning for deployment. The ETH/USDT and SOL/USDT trading pairs are seeing particularly strong activity as altcoins gain market share against Bitcoin.

Senate Democrats Oppose GENIUS Act, Threatens U.S. Stablecoin Future

Nine Senate Democrats have withdrawn support for the GENIUS Act, a stablecoin bill that once enjoyed bipartisan backing. The reversal signals growing political risks for crypto legislation as lawmakers demand stricter anti-money laundering controls. Senators Ruben Gallego, Mark Warner, and other former supporters now argue the bill lacks sufficient safeguards for national security and financial stability.

The legislation’s requirement for 60 votes makes passage unlikely without Democratic support. Opposition intensified after revelations about the Trump family’s cryptocurrency dealings, though the bill’s substantive provisions focus on reserve requirements and audit mandates for stablecoin issuers. This development creates fresh uncertainty for dollar-pegged tokens that were poised to gain regulatory clarity.

Tether CEO Unveils Ambitious Open-Source AI Project — Here’s What It Means

Tether’s CEO, Paolo Ardoino, has announced the company’s foray into artificial intelligence with a project dubbed Tether AI. This initiative diverges from conventional AI tools, envisioning a decentralized, open-source future for AI, with cryptocurrencies like Bitcoin and USDT at its core.

The project introduces ’Personal Infinite Intelligence,’ an open-source AI runtime designed to operate on any device without reliance on cloud infrastructure, API keys, or centralized control. This approach empowers individuals worldwide to deploy and manage their own AI systems autonomously.