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Circle’s EURC grows as trade war pushes euro higher — Analyst

The market cap of Circle’s Euro Coin (EURC), a euro-pegged stablecoin, is growing quickly as the ongoing trade war pushes the US dollar price lower.

“In recent weeks, interest in the euro has grown tremendously” and “this interest has not escaped the Circle EURC stablecoin,” Obchakevich Research founder Alex Obchakevich wrote in a recent X post.

The euro has risen by 2.2%, reaching its highest price since February 2022 at its current price of $1.13.

Obchakevich said that amid this happening, decentralized finance (DeFi) protocol Aave saw €2.3 million of Euro Coin inflows in April alone. He further highlighted that EURC’s capitalization is growing at a rapid pace.

Circle’s EURC grows as trade war pushes euro higher — Analyst

Source: Obchakevich’s

CoinMarketCap data shows EURC’s market cap rose from under $84 million at the end of 2024 to more than $198 million as of mid-April — a 136% increase year to date.

Related: ECB exec renews push for digital euro to counter US stablecoin growth

The euro grows amid an increasingly harsh trade war

The euro’s recent rally comes as the US dollar weakens on the back of escalating trade tensions. Since Dec. 31, 2024, the dollar has dropped from 0.97 euro to 0.88 euro, a 9.3% decline against the euro.

The US and European Union “are likely to reach an agreement on a trade deal that will stabilize the euro at $1.11 to the dollar,” Obchakevich said. Still, he expects the Euro Coin to keep growing:

“EURC will continue to grow through integration with various payment systems and blockchains.“

The analyst said that after launching on Ethereum, Euro Coin was also deployed on Avalanche, Base, Stellar, Sonic and Solana, leading to a growing supply. He shared his outlook on future market developments:

“I predict EURC to grow to 400 million euros by the end of this year. This will be further impacted by MiCa regulatory support and economic challenges.“

Related: Digital euro to be ‘most private electronic payment option

MiCA works in Circle’s favor

Euro Coin and USDC (USDC) issuer Circle is reaping the rewards of its regulatory-friendly strategy. The firm’s products are the top euro and US dollar-pegged stablecoins that comply with the European Union’s Markets in Crypto-Assets (MiCA) regulation.

The current stablecoin market leader is Tether, with its USDt (USDT) stablecoin currently having a market cap of $144 billion according to CoinMarketCap data. This is significantly higher than leading stablecoin USDC’s $60 billion market cap.

Still, many expect this gap to shrink as the USDt keeps being pushed from the European Union’s market due to a lack of MiCA compliance. This trend culminated in the world’s leading crypto exchange, Binance, delisting USDt for its European Economic Area-based users to comply with the rules in March.

Magazine: How crypto laws are changing across the world in 2025

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Another tantrum from the Labour backbenches is inevitable

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Rachel Reeves hints at tax rises in autumn budget after welfare bill U-turn

In common with many parents across the country, here’s a conversation that I have with my young daughter on a semi-regular basis (bear with me, this will take on some political relevance eventually).

Me: “So it’s 15 minutes until your bedtime, you can either have a little bit of TV or do a jigsaw, not both.”

Daughter: “Ummmm, I want to watch TV.”

Me: “That’s fine, but it’s bed after that, you can’t do a jigsaw as well.”

Fast-forward 15 minutes.

Me: “Right, TV off now please, bedtime.”

(Pause)

Daughter: “I want to do a jigsaw.”

Now replace me with the government, the TV and jigsaw options with axing welfare cuts and scrapping the two-child cap, and my daughter with rebellious backbenchers.

Politics latest: Former Labour leader calls for wealth tax on assets above £10m

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Rachel Reeves’s fiscal dilemma

That is the tension currently present between Downing Street and Labour MPs. And my initial ultimatum is the messaging being pumped out from the government this weekend.

In essence: you’ve had your welfare U-turn, so there’s no money left for the two-child cap to go as well.

As an aside – and before my inbox fills with angry emails lambasting me for using such a crude metaphor for policies that fundamentally alter the lives of some of the most vulnerable in society – yes, I hear you, and that’s part of my point.

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Welfare U-turn ‘has come at cost’

For many in Labour, this approach feels like the lives of their constituents are being used in a childish game of horse-trading.

So what can be done?

Well, the government could change the rules.

Altering the fiscal rules is – and will likely remain – an extremely unlikely solution. But as it happens, one of Labour’s proverbial grandparents has just popped round with a different suggestion.

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Welfare: ‘Didn’t get process right’ – PM

A wealth tax, Lord Neil Kinnock says, is the necessary outcome of the economic restrictions the party has placed on itself.

Ever the Labour storyteller, Lord Kinnock believes this would allow the government to craft a more compelling narrative about whose side this administration is on.

That could be valuable, given one of the big gripes from many backbench critics is that they still don’t really understand what this prime minister stands for – and by extension, what all these “difficult decisions” are in aid of.

The downside is whether it will actually raise much money.

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Is Corbyn an existential risk to Labour?

The super-rich may have lots of assets to take a slice from, but they also have expensive lawyers ready to find novel ways to keep their client’s cash away from the prying eyes of the state.

Or, of course, they could just leave – as many are doing already.

In the short term, the future is a bit easier to predict.

If Downing Street is indeed now saying there is no money to scrap the two-child cap (after heavy briefing in the opposite direction just weeks ago), an almighty tantrum from the backbenches is inevitable.

And as every parent knows, the more you give in, the harder it becomes to hold the line.

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UK restores diplomatic ties with Syria

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UK restores diplomatic ties with Syria

The UK has re-established diplomatic ties with Syria, David Lammy has said, as he made the first visit to the country by a British minister for 14 years.

The foreign secretary visited Damascus and met with interim president Ahmed al Sharaa, also the leader of the rebel group Hayat Tahrir al-Sham (HTS), and foreign minister Asaad al Shaibani.

It marks the latest diplomatic move since Bashar al Assad’s regime was toppled by rebel groups led by HTS in December.

In a statement, Mr Lammy said a “stable Syria is in the UK’s interests” and added: “I’ve seen first-hand the remarkable progress Syrians have made in rebuilding their lives and their country.

“After over a decade of conflict, there is renewed hope for the Syrian people.

“The UK is re-establishing diplomatic relations because it is in our interests to support the new government to deliver their commitment to build a stable, more secure and prosperous future for all Syrians.”

Foreign Secretary David Lammy shakes hands with Syrian interim president Ahmed al-Sharaa in Damascus. Pic: X / @DavidLammy
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Foreign Secretary David Lammy with Syria’s interim president Ahmed al Sharaa in Damascus. Pic: X / @DavidLammy

The Foreign, Commonwealth and Development Office has also announced a £94.5m support package for urgent humanitarian aid and to support the country’s long-term recovery, after a number of British sanctions against the country were lifted in April.

While HTS is still classified as a proscribed terror group, Sir Keir Starmer said last year that it could be removed from the list.

The Syrian president’s office also said on Saturday that the president and Mr Lammy discussed co-operation, as well as the latest developments in the Middle East.

Read more:
Wildfires break out in Greece, Turkey and Syria
Putin ‘mocking Trump’s peace efforts’, Poland says
Hamas gives ‘positive’ response to ceasefire proposal

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Since Assad fled Syria in December, a transitional government headed by Mr al Sharaa was announced in March and a number of western countries have restored ties.

In May, US President Donald Trump said the United States would lift long-standing sanctions on Syria and normalise relations during a speech at the US-Saudi investment conference.

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From May: Trump says US will end sanctions for Syria

He said he wanted to give the country “a chance at peace” and added: “There is a new government that will hopefully succeed.

“I say good luck, Syria. Show us something special.”

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Secret Service seizes $400M in crypto, cold wallet among world’s largest

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Secret Service seizes 0M in crypto, cold wallet among world’s largest

Secret Service seizes 0M in crypto, cold wallet among world’s largest

Secret Service quietly amasses one of the world’s largest crypto cold wallets with $400 million seized, exposing scams through blockchain sleuthing and VPN missteps.

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