Learn about Circle, Binance, and Coinbase to promote USDC in one article! Ensure smooth listing

According to Bloomberg, citing people familiar with the matter, Ripple has proposed to acquire stablecoin issuer Circle for $4 billion to $5 billion, but was rejected because of its low bid.

Circle's stablecoin USDC has climbed from $33 billion a year ago to $61.5 billion.

Circle signed a promotion agreement with Binance at the end of last year to launch a two-year marketing campaign.

Its long-term partner Coinbase also launched the USDC Boosted Rewards plan in February. Users can earn up to 12% of APY by USDC held by users in their perpetual contract portfolios. It is speculated that Circle should want to increase the issuance of USDC first to ensure a smooth listing.

Ripple offers $5 billion to acquire Circle but is rejected

Ripple has proposed to acquire stablecoin issuer Circle for $4 billion to $5 billion, but was rejected because of its low bid, people familiar with the matter said.

Although Ripple is still interested in Circle, it has not decided whether to make a offer again. As details have not been made public, people familiar with the matter asked to be anonymous.

Circle is focusing on completing its initial public offering (IPO) submitted earlier this month, the people familiar with the matter added.

"We do not comment on market rumors. As we are currently in a quiet period with the Securities and Exchange Commission (SEC), we cannot further comment on the company's financial plans. Our long-term goals remain the same."

According to data provider PitchBook, Circle's valuation reached US$7.7 billion after a round of financing in 2022. And now it has risen to $9 billion.

Circle impacts USDC, and promotes high interest rates with Binance and Coinbase

Circle's stablecoin USDC has climbed from US$33 billion a year ago to US$61.5 billion. In addition to the recovery of the crypto market, Circle has also launched many marketing plans with Binance and Coinbase.

Circle signed a promotion agreement with Binance at the end of last year to launch a two-year marketing campaign to promote USDC on the Binance platform, and Binance will retain a certain amount of USDC in the vault. Circle paid Binance a one-time fee of $60.25 million and agreed to pay Binance a monthly reward fee that represents a percentage of the amount of USDC held in its platform and vault.

Currently, the USDC current interest rate on Binance is as high as 10%, but the limit is 400 USDC.

In addition, Circle's long-term partner Coinbase also launched the USDC Boosted Rewards program in February, where users can earn up to 12% of APY in a perpetual contract portfolio, with a cap of $1 million.

Although Circle achieved revenue of US$1.676 billion in 2024, an annual increase of 16%; its net profit fell to US$155 million, mainly due to its large promotion expenses that it burned. However, the author speculates that Circle should use this to increase the issuance of USDC and first ensures that it can be launched smoothly. Therefore, Ripple's acquisition will naturally not be included in the consideration. After all, Circle executives will receive a cash bonus of one million US dollars when they successfully go public. How can they not work hard?

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