Close Menu
FintechFetch
    FintechFetch
    • Home
    • Fintech
    • Financial Technology
    • Credit Cards
    • Finance
    • Stock Market
    • More
      • Business Startups
      • Blockchain
      • Bitcoin News
      • Cryptocurrency
    FintechFetch
    Home»Blockchain»BlackRock Analysts Predict Major Bitcoin Surge As US Legislation Strengthens Stablecoins
    Blockchain

    BlackRock Analysts Predict Major Bitcoin Surge As US Legislation Strengthens Stablecoins

    FintechFetchBy FintechFetchJuly 30, 2025No Comments3 Mins Read
    Share Facebook Twitter Pinterest LinkedIn Tumblr Reddit Telegram Email
    Share
    Facebook Twitter LinkedIn Pinterest Email


    In a recent expert commentary, executives from BlackRock, the world’s largest asset manager and a leading issuer of cryptocurrency exchange-traded funds (ETFs), identified a significant trend in the cryptocurrency market, particularly for Bitcoin (BTC). 

    They foresee a major surge ahead, driven by recent US legislative developments such as the signing of the GENIUS Act. They assert that these developments bolster the role of stablecoins as key players in the future of digital payments.

    New Regulatory Landscape For Stablecoins

    Central to BlackRock’s analysis is the recently enacted GENIUS Act, legislation that aims to establish a comprehensive framework for stablecoins as a means of payment. 

    Stablecoins, digital tokens pegged to traditional currencies such as the US dollar, are gaining significant traction among traditional finance firms seeking to modernize their transactions, and could solidify the dollar’s dominance in global markets. 

    Related Reading

    Though their current market share is about 7%—equating to approximately $250 billion—the rapid adoption of stablecoins since 2020 indicates a growing acceptance within the financial landscape.

     

    Stablecoin’s market cap rise over the past 5 years. Source: BlackRock

    The GENIUS Act delineates stablecoins as payment methods rather than investment products, which includes provisions to prohibit interest payments and restrict issuance to federally regulated banks and select nonbanks. 

    This regulatory framework is poised to create a tokenized ecosystem centered around the US dollar, facilitating easier access for users in emerging markets while potentially limiting adoption in major economies due to the ban on interest payments. 

    Additionally, the act specifies the types of assets that stablecoin issuers can hold in reserve, predominantly consisting of repurchase agreements, money market funds, and US Treasury bills with short maturities. 

    Notably, major stablecoin issuers like Tether (USDT) and Circle (USDC) currently hold over $120 billion in Treasury bills, yet this represents only a small fraction of the total outstanding US Treasury bills.

    BlackRock Optimistic About Bitcoin’s Potential 

    BlackRock’s commentary also suggests that while the demand for Treasury bills may increase as the stablecoin market grows, the overall impact on yields could be limited. 

    This is due to a likely offsetting shift of funds from similar assets rather than generating significant new demand. Furthermore, the US Treasury’s inclination to increase short-term debt issuance to address persistent budget deficits may also dampen any upward pressure on yields.

    Beyond US borders, other regions are also taking steps to regulate stablecoins. Hong Kong is implementing new regulations aimed at fostering innovation in stablecoins, while Europe is exploring the concept of a digital euro, albeit with limitations to protect traditional banks. 

    Related Reading

    Should other nations allow interest-bearing stablecoins or pursue central bank digital currencies (CBDCs), the US dollar’s role in trade finance could be at risk, the experts assert, potentially prompting the US to reconsider its stance on interest payments.

    As digital assets continue to gain mainstream acceptance, the combination of regulatory support and US administration backing suggests a future where Bitcoin and stablecoins play a more integral role in financial systems. 

    BlackRock remains optimistic about Bitcoin’s potential as a distinct return driver and a key asset in diversified investment portfolios.

    BlackRock
    The 1D chart shows BTC’s price consolidation. Source: BTCUSDT on TradingView.com

    Featured image from DALL-E, chart from TradingView.com



    Source link

    Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
    Previous ArticleRAKBANK Launches Bitpanda-Powered Crypto Brokerage Service for Retail Customers
    Next Article More bad news sends the Aston Martin share price into reverse
    FintechFetch
    • Website

    Related Posts

    Blockchain

    Tether Q2 Net Profit Hits $4.9 Billion, Pushing Total Earnings To $5.7 Billion

    August 1, 2025
    Blockchain

    Pump.Fun (PUMP) Soars 30% From Lows Amid Token Buybacks

    August 1, 2025
    Blockchain

    Solana Faces Ethereum Scam Woes as TD Sequential Hints at Bullish Breakout

    July 31, 2025
    Add A Comment
    Leave A Reply Cancel Reply

    Top Posts

    UFC Legend Conor McGregor Wants a Bitcoin Strategic Reserve in Ireland

    May 10, 2025

    I asked ChatGPT to tip 2 cheap shares for an empty ISA – I own them both!

    March 8, 2025

    FTX Creditors to Receive Over $5B Starting May 30

    May 16, 2025

    Why Everyday People Are Becoming the Most Powerful Influencers for Your Brand

    July 10, 2025

    SaaS Fintech: What Next? – Fintech Review

    April 19, 2025
    Categories
    • Bitcoin News
    • Blockchain
    • Business Startups
    • Credit Cards
    • Cryptocurrency
    • Finance
    • Financial Technology
    • Fintech
    • Stock Market
    Most Popular

    2025 and Beyond: What Regulations Will Impact AI Used in Customer Service?

    February 9, 2025

    eToro Extends Deal with Dutch Club AZ Alkmaar as Betting Brands to Exit Premier League

    June 9, 2025

    Cardano (ADA) Price Predictions for This Week

    March 18, 2025
    Our Picks

    Establishing “Expected Behavior”: Using Median, Standard Deviation and Avg to Detect Suspicious Txns: By Joseph Ibitola

    August 1, 2025

    Sunil Mascarenhas Appointed CEO of SDAX

    August 1, 2025

    Celsius Energy Drink May Contain Alcohol in Labeling Mixup

    August 1, 2025
    Categories
    • Bitcoin News
    • Blockchain
    • Business Startups
    • Credit Cards
    • Cryptocurrency
    • Finance
    • Financial Technology
    • Fintech
    • Stock Market
    • Privacy Policy
    • Disclaimer
    • Terms and Conditions
    • About us
    • Contact us
    Copyright © 2024 Fintechfetch.comAll Rights Reserved.

    Type above and press Enter to search. Press Esc to cancel.