Stablecoin inflows rebound to $1.7B amid US yield debate
Weekly net inflows into stablecoins rose to $1.7 billion last week, a 414.5% increase from the prior week, as onchain activity strengthened despite ongoing debate in Washington over whether third parties may offer yield on stablecoin holdings, according to a report released Wednesday by Messari.
News
Messari reported that the rebound turned the 30-day average positive to $162.5 million in daily inflows. Overall transaction volumes increased 6.3%, while average transaction size declined, pointing to renewed issuance demand and “strengthened” onchain participation among retail users, the report said.
Stablecoin inflows measure net new tokens entering circulation after accounting for redemptions. The latest surge follows a softer period earlier this year, including $249 million in weekly inflows two weeks prior and $4.4 billion in net outflows over the 30 days ending Feb. 18, Messari data showed.
Top stablecoins by yield percentage. Source: Messari
Stablecoin yield dispute slows progress on US market structure legislation
Renewed demand has emerged as policy discussions in Washington intensify around “yield-bearing” stablecoins. Banking associations have argued that permitting stablecoin issuers’ affiliates to pay yield could create a loophole that draws deposits away from banks, urging lawmakers to limit the practice as negotiations continue on a broader crypto market structure bill.
The Digital Asset Market Structure Clarity Act (CLARITY Act) aims to establish a comprehensive regulatory framework for digital assets. The House of Representatives passed the bill on July 17, 2025, and it has been under consideration in the Senate since, as mentioned in a report by Messari.
The Senate Banking Committee’s markup, initially planned for mid-January, was postponed indefinitely amid disagreements over stablecoin yield provisions.
On Tuesday, US President Donald Trump criticized banks for impeding the Senate’s work on the bill. “The Genius Act is being threatened and undermined by the Banks, and that is unacceptable — We are not going to allow it,” Trump said in a post on the Truth Social platform.
Source: Donald Trump
Separately, the GENIUS Act, passed by the House alongside the CLARITY Act in July 2025, sets a federal framework for stablecoins. It bars issuers from paying interest or yield solely for holding a payment stablecoin, while permitting third-party platforms to offer rewards programs tied to stablecoin balances. GENIUS was signed into law on July 18, 2025. More about this can be explored in Messari’s report.
Stay informed, read the latest news right now!
Disclaimer
The content on TrustsCrypto.com is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency markets are highly volatile, always do your own research before making decisions.
Some content may be assisted by AI and reviewed by our editorial team, but accuracy is not guaranteed. TrustsCrypto.com is not responsible for any losses resulting from the use of information provided.
