As Stablecoins Keep Growing, These 2 Stocks Benefit

Key Points

• The stablecoin industry saw market capitalization increase by about 50% in about the last year as use among institutions, credit card companies, and more continues to grow.
• Two publicly traded firms that may benefit from this trend are CRCL and COIN.
• Circle is the issuer of USDC, a major stablecoin, while Coinbase is one of the largest crypto exchange platforms available today.

The stablecoin ecosystem experienced massive growth in the last year, with the market capitalization of this segment of the crypto space climbing by about 50% from early 2025 to early 2026. At the same time, increased institutional participation and transaction volumes have helped to solidify tokens like Tether and USDC as essential parts of the financial ecosystem.

For investors, the benefits of stablecoins—including capital preservation, easy global transfers, yield opportunities, and more—may be available through direct investments in the coins themselves, through crypto exchange-traded funds (ETFs), and even via unorthodox methods like tokenized Treasury products or venture capital. But there is also a growing number of publicly traded companies that benefit as stablecoins continue to grow, and the stocks below may be a good place to start.

A Strong Pure-Play Stablecoin Play With Excellent Growth Prospects

Circle Internet Group NYSE: CRCL is one of the most important companies in the stablecoin environment, providing a platform as well as network and infrastructure that are deeply linked to the space. As the issuer of USDC, one of the largest stablecoins by market cap, Circle may be the easiest pure-play stablecoin investment for investors looking to target a publicly traded company rather than the token itself.

Even as Bitcoin has seen massive price fluctuations continue into 2026 (the price of the leading cryptocurrency has fallen by almost a third so far this year), USDC has managed to grow its market cap to about $74 billion.

Circulation for USDC was up 28% year-over-year (YOY) for the latest quarter. The token has been the beneficiary of rising transaction volumes in recent quarters as well—these were up 263% YOY according to Circle's last report.

Stability for USDC means strength for Circle, especially important given the volatility in the broader cryptocurrency world.

Circle has a dominant position in the rising stablecoin trend among credit card providers, representing about 63% of stablecoin commercial transactions for Visa Inc. NYSE: V last quarter. The company is also healthy in its profitability metrics: revenue and reserve income for Q1 2026 were up 20% YOY to $694 million, and adjusted EBITDA also improved by an even wider margin.

Analysts are fairly divided when it comes to CRCL shares, with 11 Buys, 11 Holds, and three Sell ratings. While share prices have been up and down along with the broader crypto market, investors may look for increasing stability as USDC adoption continues to expand. In the meantime, Wall Street expects an impressive 95% in upside potential for those willing to bear these fluctuations.

Major Crypto Exchange With a Growing Stablecoin Role

If Circle represents a more direct means of accessing stablecoins through an issuer, Coinbase Global Inc. NASDAQ: COIN is somewhat more removed as a cryptocurrency exchange. The company behind one of the largest exchanges in the crypto industry has seen sizable share price declines this year, with a year-to-date (YTD) drop of about 36%. This is to be expected based on the challenges facing the broader crypto industry.

Part of the reason for COIN's struggle was the company's less-than-stellar Q1 2026 earnings report, which included quarterly net losses of $394 million alongside revenue that dropped sharply on a YOY basis.

However, the firm's crypto trading market share climbed to an all-time high during the quarter, helping to shore up Coinbase's position as the world's largest custodian of crypto assets.

When cryptocurrency prices rise again, Coinbase will be in an even stronger position than before the latest dip.

Coinbase's stablecoin business in particular is a highlight, with the average USDC held in Coinbase products reaching an all-time high of $19 billion in the first quarter of the year. The company holds about a quarter of all existing on-platform USDC. If crypto traders are looking to buy or sell a stablecoin, Coinbase is increasingly becoming the go-to option. Still, Coinbase stands to benefit even if users are not making active stablecoin trades. With the benefit of remittances, settlements, and other activity involving stablecoins, Coinbase can thrive based on custody fees and revenue-sharing arrangements, for instance.

Like CRCL, COIN shares are a mixed bag in terms of analyst ratings. Buy ratings total 18, compared with 15 total Sell and Hold ratings. The stock is also highly volatile, but an increasing role in the stablecoin industry may provide a more stable footing for COIN over time. Nonetheless, both of these stocks carry inherent risks, despite their potential given the growth of stablecoins.