Stablecoin Regulation’s Biggest Winner Coinbase? Revenue Could Increase More Than Sevenfold

▲ Coinbase

Following the implementation of a new U.S. stablecoin regulatory bill, Coinbase’s revenue structure is expected to shift dramatically, with stablecoin-related revenue projected to surge more than sevenfold.

According to crypto-focused media outlet NewsBTC on February 26 (local time), analysts at Bloomberg Intelligence stated that the stablecoin regulatory bill known as GENIUS could deliver unprecedented financial benefits to Coinbase. Bloomberg Intelligence analysts Tushar Rao and Elliott Stein projected that once the bill takes effect, Coinbase’s quarterly stablecoin-related revenue could jump from the current $190 million to as much as $1.4 billion.

The core driver behind this potential revenue surge lies in a legal provision that prohibits stablecoin issuers from distributing interest or yield to holders. The GENIUS stablecoin regulation allows issuers to retain all interest income generated from reserve assets such as U.S. Treasury bonds. In contrast to many offshore issuers that currently share yields to attract customers, once the bill is implemented, USDC—operated by Coinbase and its partners—would be able to fully retain the profits it generates.

Bloomberg Intelligence believes that once the regulation takes effect, unregulated stablecoin issuers that previously attracted customers by offering interest payments will lose their competitive edge. Rao explained, “As the regulatory environment is formalized and issuers are no longer allowed to distribute yield, profit margins for major issuers will inevitably be maximized.” As capital increasingly flows into USDC, which is secured within the institutional framework, Coinbase’s market dominance is expected to strengthen further.

The bill is scheduled to take full effect in early 2027 and is regarded as a significant turning point in the virtual asset market’s transition from a speculative arena to core financial infrastructure within the institutional system. Stein noted, “The prohibition on interest payments effectively grants publicly listed companies like Coinbase a legal monopoly on earnings.” In a sustained high interest-rate environment, interest income generated from reserve asset management could serve as a powerful driver in substantially improving Coinbase’s net profit.

Ultimately, the GENIUS stablecoin regulation is likely to become not merely a regulatory barrier but a strategic tool capable of generating massive cash flow for Coinbase. As the U.S. government reshapes the stablecoin market under strict oversight, a revaluation of Coinbase’s corporate value is also expected to accelerate. Market experts suggest that the bill will create a favorable environment for publicly listed companies and reinforce a winner-takes-all structure within the virtual asset industry.

Disclaimer: This article is for investment reference only and the publisher is not responsible for any investment losses incurred based on it. The content should be interpreted solely for informational purposes.