U.S. Clarity Act Compromise Limits Stablecoin Yield, Aids Circle as Total Supply Hits $300B Historic High

According to The Block, Bernstein noted that a bipartisan compromise in the U.S. Clarity Act on stablecoin yields restricts issuers from paying deposit-like interest on passively held stablecoin balances, while preserving rewards tied to actual use cases like trading and payments. This framework is seen as favorable to Circle’s USDC float income model and reduces incentives for issuers to compete through high yields.

U.S. dollar stablecoin supply has reached a record $300 billion, with USDC and USDT comprising approximately 97% of the market. Bernstein noted that USDC accounts for over 99% of Agentic Payments settlement globally.