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

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

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

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Time For X To Launch A Stablecoin?

More stablecoins will likely be issued in the coming years as crypto gains adoption and issuers, following the lead of Tether and Circle, angle for massive profits. While lucrative, these profits don’t trickle down to USDT or USDC token holders unless they stake or engage in DeFi.

In a post on X, one analyst suggests that the social media platform, Elon Musk and X could consider launching their stablecoin to diversify their revenue stream. If they do, the best approach would be to release a more pro-community stablecoin. distributing yield directly to holders.

According to the analyst, launching a stablecoin aligns perfectly with Musk’s vision of transforming X into a payments platform. X currently boasts over 650 million monthly active users, 500 million of whom are outside the United States.

<img class="aligncenter wp-image-208730 size-full" src="https://99bitcoins.com/wp-content/uploads/2025/02/Screenshot-2025-02-25T092720.414.png" alt="Stablecoins now have a combined market cap exceeding $233 billion. Is it time for X to launch a pro-community stablecoin?" width="1194" height="693"

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Perfect Timing? Stablecoin Laws Being Drafted In the United States

If X pursues this path—much like it embraced the AI trend and eventually launched Grok—it could be among the first issuers to capitalize on the United States’ push to create clear stablecoin regulations.

Earlier this month, Senators Bill Hagerty and Tim Scott, alongside Representative French Hill,announced plans to develop a framework specifically for stablecoins and crypto assets. 

The Guiding and Establishing National Innovation for United States Stablecoins Act (GENIUS) is among their proposals. It would mandate reserve requirements for stablecoin issuers and establish a board  to oversee their activities. 

For instance, stablecoins with a market cap exceeding $10 billion would be subject to direct Federal Reserve regulation, while non-bank issuers would be supervised by the Office of Comptroller of Currency (OCC).

Additionally, The Financial Innovation and Technology for 21st Century Act (FIT21) Bill passed by Congress in May 2024 aims amp;/  ;to define clear oversight roles for The United States Securities Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC).