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Jul 13, 2026

Wall Street analysts downgrade Circle as traditional banks launch competing stablecoin infrastructure

Major investment banks including Mizuho and JPMorgan have downgraded Circle's stock and lowered earnings estimates, citing mounting competitive pressure from traditional banks developing shared stablecoin infrastructure and concerns over the CLARITY Act's regulatory framework.

Jul 13, 2026·6 sources
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Top claims

  • ▪President Donald Trump called on Congress to pass the CLARITY Act following the death of Senator Lindsey Graham on July 12, 2026.
  • ▪US banking groups argue that the current wording of the CLARITY Act could allow stablecoin issuers to offer interest-like incentives that trigger deposit flight from traditional banks.
  • ▪The estimated probability of the CLARITY Act passing the Senate has fallen to 37% after a key White House adviser supporting the bill took a one-month leave.

Topics

Crypto market analysisStablecoin regulationStablecoins

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