Coinbase Stablecoin Revenue Could Soar 7x Thanks to the GENIUS Act, According to Bloomberg Analysts

Summary:
Coinbase, a leading cryptocurrency exchange, stands to gain significantly from the GENIUS Act, the first comprehensive U.S. legislation regarding cryptocurrency. With this act putting a federal framework in place for stablecoin issuance, analysts predict a substantial increase in Coinbase's stablecoin revenue.

Key Takeaways

Coinbase generated approximately $1.35 billion in stablecoin-related revenue in 2025, marking a 48% growth from the previous year.
Stablecoin revenue contributes significantly to Coinbase's overall income, making it more stable compared to trading fees.
The GENIUS Act aims to enhance the regulatory landscape for stablecoins, which could lead to broader adoption and increased revenue for Coinbase.
Analysts indicate that Coinbase's revenue from USDC could potentially increase by two to seven times if certain conditions are met.

Coinbase

Coinbase Stablecoin Revenue Increases by 48%

According to Bloomberg analysts Paul Gulberg and Samuel Radowitz, the GENIUS Act could provide a major boost to Coinbase's expanding stablecoin operations, especially if dollar-backed tokens gain traction in everyday payments.

In 2025, Coinbase saw its revenue linked to stablecoins reach around $1.35 billion, up 48% from $911 million in 2024. This segment accounted for 19% of the company's total annual revenue, highlighting the critical role stablecoins play in Coinbase's business strategy.

Unlike the often volatile trading fees that vary with the crypto market, revenue from stablecoins comes from interest earned on reserves that back Circle’s USDC. These reserves mainly invest in U.S. Treasuries and other secure assets, generating reliable yields. Coinbase earns a significant share of these interest revenues, making this income stream more predictable and typically more profitable than transaction-based revenues.

This revenue stream's importance was starkly clear in late 2025. Even when Bitcoin (BTC) and other cryptocurrencies experienced a sharp price drop, leading to a 20% revenue decline for Coinbase in the fourth quarter, the income from stablecoins remained relatively stable. Analysts believe that this steady income could gain even more significance as regulatory clarity encourages broader adoption of the USDC.

GENIUS Act Projected to Boost USDC Growth

The GENIUS Act plays a key role in this perspective. By establishing a federal regulatory framework for stablecoin issuers, the legislation could eliminate obstacles that have hindered USDC usage in areas like cross-border payments and merchant transactions.

If businesses and financial institutions begin to adopt stablecoins for real-world interactions, the total supply of USDC could see substantial growth. A rise in USDC circulation would necessitate more reserves to support those tokens, generating additional interest income from the Treasury investments.

Since Coinbase receives a portion of this yield, increased adoption could lead to higher revenues. Analysts from Bloomberg estimate that in favorable conditions, Coinbase’s USDC-related revenue may grow by two to seven times its current value.

However, achieving the upper limit of this estimate depends on Coinbase's ability to continue offering incentives to customers who hold USDC. If these reward programs remain in effect, the analysts predict a quicker adoption rate for USDC. Even if such incentives are reduced during negotiations surrounding the CLARITY Act, the clearer regulatory conditions provided by the GENIUS Act are still expected to support significant growth in stablecoin adoption.

Coinbase The daily chart demonstrates a rise in COIN's valuation during Wednesday’s trading session. Source: COIN on TradingView.com

As of the latest update, Coinbase’s stock, trading under the ticker COIN, surged toward $185 in Wednesday’s trading session, reflecting a 22% increase within a 24-hour period. This rising trend highlights the optimistic outlook surrounding Coinbase in response to legislative changes and its stablecoin business.

Featured image from OpenArt, chart from TradingView.com