While $BTC declined 1.5%, this week saw new crypto marketcap ATHs above the coveted $4T mark. This marks consecutive weeks of BTC.d decreasing, with alts across the board gaining. This market-wide froth will likely not be sustainable: exposure to selective assets is key for making the most of this evolving market.

Key Takeaways:

• $PUMP has performed below expectations, despite trading above ICO price and the start of buybacks. 
• This week saw record $ETH ETF inflows of over $2B, backing $ETH’s march toward $4k.
• Ethereum’s momentum has started to flow into other areas of the ecosystem, including NFTs and L2s, with $ETH DeFi names gaining 18% in the past week. 

GENIUS Act is Official

On July 18, President Trump officially signed the GENIUS act into law. The GENIUS Act advanced out of the Senate Banking Committee after bipartisan revisions, ultimately passing with more than 300 votes in Congress, including support from 102 Democrats, providing a comprehensive legal framework for dollar-denominated payment stablecoins. Key provisions include:

• The GENIUS act maintains state authority over banking and payments while creating a federal opt-in for issuers with more than $10B in circulation, letting banks, non-banks, and credit unions compete under clear thresholds.
• Large institutions such as JPMorgan, Citi, and Bank of America can issue stablecoins only through segregated balance sheets with no lending or leverage.
• Similar to MiCA, yield cannot be directly passed from issuers to token holders; if issuers wish to pass on yield, it must be distributed through intermediary platforms, including CEXs, fintechs, DeFi protocols, etc. These parties can direct yield as they see fit, with secondary markets for stablecoins also still a possibility under the GENIUS framework.

$USDC’s accessibility and integrations, existing reserve audibility, and status as a publicly listed company give $CRCL a first-mover advantage as the only liquid representation providing isolated exposure to stablecoins. In July, $USDC daily transfer volumes climbed to nearly $100B, while issuance increased 4.7% to a total supply of $63.7B. Considering the integrations and partnerships with fintech giants like Stripe, Shopify, etc., these figures should be expected to increase to warrant $CRCL’s valuation.