Time For Elon Musk and X To Launch A Pro-Community Stablecoin?

Elon Musk crypto on the horizon? Stablecoins have a mixed market cap exceeding $233 billion. Is it time for X to launch a pro-community Elon Musk stablecoin?

There are over 10 completely different stablecoins, all monitoring the USD. As of February 25, 2025, all stablecoins mixed had a cumulative market cap exceeding $233 billion, with USDT by Tether being the most important, commanding over 50% of the market share.

(Supply)

Time For X To Launch A Stablecoin?

Extra stablecoins will probably be issued within the coming years as crypto beneficial properties adoption and issuers, following the lead of Tether and Circle, angle for enormous income. Whereas profitable, these income don’t trickle right down to USDT or USDC token holders until they stake or have interaction in DeFi.

In a put up on X, one analyst suggests that the social media platform, Elon Musk and X may take into account launching their stablecoin to diversify their income stream. In the event that they do, one of the best method can be to launch a extra pro-community stablecoin, distributing yield on to holders.

In accordance with the analyst, launching a stablecoin aligns completely with Musk’s imaginative and prescient of remodeling X right into a funds platform. X at the moment boasts over 650 million month-to-month energetic customers, 500 million of whom are exterior the USA.

(Supply)

A USD-tracking stablecoin would allow these a whole bunch of hundreds of thousands of customers to make seamless funds in a low-cost surroundings. Nonetheless, the velocity of settlement and price would rely on the chosen blockchain.

Most stablecoins are minted on Ethereum, its layer-2 networks, or Tron. A good portion of USDC additionally circulates on Solana, which is the popular stablecoin.

An X stablecoin can be a main initiative, positioning the favored social media platform as a critical competitor to Venmo, Money App, and different conventional fee techniques struggling to maintain tempo with the fast rise of stablecoin adoption.

Past serving its huge consumer base, the stablecoin may additionally change into a money circulation engine, very similar to it’s for Tether. In 2024 alone, Tether generated over $13 billion in income—a battle chest fueling its aggressive growth and diversification.

Tether is now concerned in Bitcoin mining and initiatives to solidify its dominance within the crypto market.

Excellent Timing? Stablecoin Legal guidelines Being Drafted In the USA

If X pursues this path—very similar to it embraced the AI development and ultimately launched Grok—it might be among the many first issuers to capitalize on the USA’ push to create clear stablecoin laws.

Earlier this month, Senators Invoice Hagerty and Tim Scott, alongside Consultant French Hill, introduced plans to develop a framework particularly for stablecoins and crypto property.

The Guiding and Establishing Nationwide Innovation for United States Stablecoins Act (GENIUS) is amongst their proposals. It will mandate reserve necessities for stablecoin issuers and set up a board to supervise their actions.

As an example, stablecoins with a market cap exceeding $10 billion can be topic to direct Federal Reserve regulation, whereas non-bank issuers would be supervised by the Workplace of the Comptroller of the Foreign money (OCC).

Moreover, the Monetary Innovation and Know-how for the twenty first Century Act (FIT21) Invoice, handed by Congress in Might 2024, goals to outline clear oversight roles for the USA Securities and Change Fee (SEC) and the Commodity Futures Buying and selling Fee (CFTC).

These companies can be required to categorise crypto property correctly. At the moment, the SEC acknowledges solely Bitcoin as a commodity. In the meantime, the CFTC extends this designation to Ethereum and Litecoin.

Due to this readability, they’re amongst a number of the greatest cryptos to purchase, explaining their large market caps.

Discover: Chill Man Crypto Plummets -53% in a Month. At $29M Market Cap, Is It All Over for Chill Man Meme Coin?

Be a part of The 99Bitcoins Information Discord Right here For The Newest Market Updates

The put up Time For Elon Musk and X To Launch A Professional-Neighborhood Stablecoin? appeared first on 99Bitcoins.

Source link