Published by Dogpay ·
Circle Mints $1 Billion USDC On Solana As Stablecoin Supply Surges
English version below, Chinese version above.
Trend One: Dollar Debasement Trade Drives Crypto and Stablecoin Expansion
August 25 — Bitcoin broke above $81,000, its highest since May, after a 24% weekly gain — the best single-week performance since 2023. The trigger: Treasury Secretary Bessent announced the Treasury would at least double its long-bond buyback program, a move markets read as a signal of dollar weakness. Gold rose to $4,661 over the same period, per CME Group data.
August 24-25 — U.S. spot Bitcoin and Ethereum ETFs recorded their seventh consecutive day of net inflows, drawing $338 million on August 25 alone. BlackRock's IBIT contributed over 60% of that day's flow. For the week ending August 21, total ETF AUM surged by roughly $23 billion — but only $2.6 billion of that was fresh capital; the rest was price appreciation. Bitcoin ETF AUM reached $96.1 billion, Ethereum ETF AUM reached $14.3 billion.
August 24 — Blockchain.news reported that stablecoin issuers are filling a gap left by declining foreign official holdings of U.S. Treasuries. As foreign central banks reduce their Treasury positions, USDC and USDT reserve allocations to T-bills are becoming a material marginal buyer of U.S. government debt.
August 25 — Circle minted 1 billion USDC on Solana within 24 hours. Bernstein analysts noted USDC supply grew by approximately $2 billion in a single week, reversing six months of stagnant circulation. USDC's share of adjusted stablecoin transaction volume rose from about 40% in 2025 to over 60% in 2026, overtaking USDT by that metric.
Why it matters: The Bessent Treasury buyback program has created a clear macro channel: dollar weakness → crypto rally → stablecoin supply expansion. Stablecoin issuers are simultaneously becoming a structural buyer of T-bills, creating a feedback loop between crypto liquidity and U.S. debt markets.
Trend Two: Traditional Finance Accelerates On-Chain — RWA, Tokenized Assets, and Bank Distribution
August 24 — Standard Chartered became the first bank to distribute a Hong Kong dollar stablecoin. The bank will distribute HKDAP, issued by Anchorpoint, to eligible clients and partners.
August 25 — Franklin Templeton ($1.8 trillion AUM) partnered with Hong Kong-based HashKey Exchange to offer its tokenized U.S. Government Liquidity Fund (grBENJI) to Asian professional investors. The fund invests primarily in U.S. government money market instruments and cash assets. The partners plan to expand into other tokenized products across HashKey's multi-jurisdictional platform covering Hong Kong, Singapore, Tokyo, Dubai, and Bermuda. Separately, Franklin Templeton received SEC clearance for funds to hold tokenized assets as collateral inside ETFs and mutual funds, potentially effective Q4 2026.
August 24 — Coinbase launched tokenized stocks on its Base network, starting with Apple, Nvidia, Meta, and Alphabet, issued under Abu Dhabi's regulatory framework.
August 25 — NUVA adopted Chainlink as its exclusive data infrastructure provider for its $19 billion tokenized RWA marketplace. The platform connects blockchain-based housing credit (U.S. home equity lines of credit originated by Figure Technologies) with DeFi applications on Ethereum. Its nvPRIME vault targets yields above 7%.
August 22 — Stablecoin neobank Fasset raised $68 million in a Series C round led by Japan's SBI Group, at a $1 billion valuation. Total funding for Fasset in 2026 reached $119 million. The companies plan to jointly operate a digital bank in Malaysia and distribute Fasset-issued tokens. SBI intends to increase its stake through warrants after the round closes.
August 25 — RWA market capitalization surged to $71 billion, a single-day gain of 48.7%, while meme coins fell 2.2% over the same period, per BeInCrypto data.
August 25 — Bernstein maintained its Outperform rating and $140 price target on Circle (CRCL), implying ~60% upside from the $87.98 close. Circle reported Q2 revenue of $701 million (up 7% YoY) and net income of $48 million. Bernstein said the growth thesis does not depend on the CLARITY Act passing in September, and pointed to stablecoin payments, tokenization, and agent-based payments as additional adoption drivers.
Why it matters: In one week, a major bank began distributing a fiat stablecoin (Standard Chartered/HKDAP), a $1.8 trillion asset manager launched tokenized Treasuries in Asia, and a major exchange issued tokenized equities. The RWA category itself added nearly half its value in a single day. The infrastructure layer is being built in parallel — distribution, custody, data feeds — not sequentially.
Trend Three: Regulatory Frameworks Take Shape — From Pakistan Licensing to Iran Sanctions
August 25 — The U.S. Treasury expanded its Iran sanctions framework to cover the digital asset sector, issuing a sectoral determination under Executive Order 13902. OFAC alleged that UAE-based broker Ivan Obukhov processed over $100 million in crypto payments since 2023 to facilitate Iranian oil sales on behalf of the IRGC's Quds Force. The determination allows OFAC to sanction any foreign person operating in or providing services supporting Iran's digital asset sector — broader than previous actions targeting specific exchanges.
August 24 — Pakistan's Virtual Assets Regulatory Authority (PVARA) opened its licensing portal. Existing service providers (operating on or before March 5, 2026) must submit a No Objection Certificate application by September 5 or cease operations. The Virtual Assets Act 2026 covers 11 license categories including exchanges, custody, lending, derivatives, stablecoin issuance, and mining. Chairman Bilal bin Saqib said stablecoins and tokenization could open up export financing, remittances, and lending for smaller businesses.
August 24 — The Atlantic Council argued that stablecoin regulation has outpaced global coordination mechanisms, and called on the G20 to push for cross-border regulatory alignment.
August 25 — PYMNTS reported an ongoing industry debate on KYC standards for stablecoins at the exchange and wallet level, balancing compliance with user privacy.
August 25 — South Korea's Jeonbuk Bank partnered with Ripple for cross-border payments, targeting import-export companies and online content creators. Separately, South Korean lawmakers introduced a bill expanding FIU powers over unregistered crypto firms, and the communications commission moved to block Polymarket over gambling concerns.
Why it matters: Three distinct regulatory trajectories are visible: the U.S. is hardening sanctions enforcement on crypto; Pakistan is building a licensing framework from scratch; and Asian hubs are competing on tax and regulatory terms. The G20 coordination gap the Atlantic Council highlights may become a bottleneck as national frameworks diverge.