Coinbase, a leading cryptocurrency exchange, and Robinhood, a popular retail trading platform offering crypto asset trading, have both reached record highs. This surge is fueled by the positive momentum in the cryptocurrency sector.
The U.S. House of Representatives passed a bill on Thursday to establish a regulatory framework for stablecoins, a type of cryptocurrency pegged to the U.S. dollar. The bill is now on President Donald Trump’s desk, who is anticipated to sign it into law.
A regulatory framework for stablecoins will increase confidence in the sector, which will positively impact Coinbase, a central player in cryptocurrency trading and custody. Cryptocurrencies have seen a significant rally in recent weeks, driven by the expectation of more clear U.S. policy and regulation that could stimulate new demand from institutional and retail investors.
Bitcoin, the largest cryptocurrency by market cap, has risen approximately 39% over the past three months, while Ethereum has seen a staggering 124% increase. According to data from CoinGecko, the total market value of the crypto sector is nearing $4 trillion.
Riding this broader rally, Coinbase’s shares have soared by around 74% this year, boosting its market value above $100 billion. Robinhood, a competitor, has seen its stock surge nearly 200% year-to-date, bringing it close to a $100 billion market cap. In comparison, the S&P 500, a key equities benchmark, has risen about 7% over the same period.
