USDC Issuer Circle Denies Coinbase and Ripple Acquisition Rumors, Signals Focus on Long-Term Growth

Circle, the issuer of USD Coin (USDC), has firmly denied rumors of a potential acquisition by Coinbase or Ripple, two major players in the cryptocurrency industry. In a statement issued to PYMNTS addressing recent speculation, the company emphasized its commitment to long-term development as an independent entity, quashing reports that it was in talks to be sold. The clarification comes in response to a Fortune article suggesting informal discussions with Coinbase, the largest U.S. crypto exchange, and Ripple, known for XRP and its newly launched RLUSD stablecoin.

Debunking the Acquisition Rumors

Circle’s statement explicitly rejected claims of negotiations with Coinbase or Ripple, stating, “Circle is not for sale. Our long-term goals remain the same.” The rumors originated from a Fortune report claiming Circle had held exploratory talks with both firms, with Ripple allegedly offering between $4 billion and $5 billion—an offer Circle reportedly declined as insufficient.

Circle’s Strategic Direction

Circle’s focus on long-term growth underscores its position as a leading stablecoin issuer. USDC, with a market capitalization of $61.53 billion as of press time (May 26, 2025), remains the second-largest stablecoin behind Tether’s USDT ($152.79 billion). The company has driven USDC’s adoption across DeFi protocols, payment systems, and blockchain networks like Ethereum, Solana, and Polygon, positioning it as a cornerstone of the crypto economy.

While Circle’s statement did not mention specific plans, the company has previously explored an initial public offering (IPO). Circle first disclosed its IPO plans in December 2022. Although the plan faced setbacks, Circle reignited its IPO ambitions in January 2024. In March 2025, Circle reportedly engaged investment banks JPMorgan Chase and Citigroup as underwriters for a potential IPO. On April 1, Circle formally submitted an S-1 filing to the SEC, marking its intent to list on the New York Stock Exchange (NYSE) under the ticker “CRCL,” though no specific timeline for the public offering has been announced. The IPO aligns with Circle’s independent strategy, but its absence from Circle’s recent statement suggests a preference for emphasizing long-term growth over rushing the IPO.

Context on Coinbase and Ripple Acquisition

According to prior reports, Circle was in talks with Ripple, known for its XRP token and recently launched RLUSD stablecoin, and Coinbase, the largest U.S. cryptocurrency exchange, as potential acquirers. Ripple reportedly offered between $4 billion and $5 billion on April 30, 2025, but Circle rejected the bid as insufficient.

Ripple’s interest in acquiring Circle aligns with its strategy to bolster its stablecoin business, following its $1.25 billion acquisition of crypto market maker Hidden Road in April 2025. Acquiring USDC, with a market cap far exceeding RLUSD’s $313 million, would enhance Ripple’s influence in digital payments.

Coinbase, a long-term partner of Circle, has ties dating back to the 2018 Centre Consortium, which set stablecoin standards. Circle’s IPO prospectus revealed that Coinbase holds a minority stake in Circle and earns approximately 50% of USDC reserve profits, despite Circle paying $209.9 million in 2023 to exit the consortium while maintaining the profit-sharing agreement. An acquisition by Coinbase could deepen this integration, but Circle’s rejection signals a priority on autonomy.

Market and Regulatory Landscape

Circle’s emphasis on an independent long-term strategy may benefit from optimistic stablecoin market projections. Citigroup previously forecasted that the stablecoin market could reach $3.7 trillion by 2030. According to DeFiLlama, the current stablecoin market size as of May 26 is $246.547 billion, implying over 14x growth in the next five years based on Citigroup’s estimate.

Additionally, regulatory changes offer positive signals for stablecoins. On May 19, 2025, the U.S. Senate advanced the GENIUS Act with a 66-32 vote. If passed, the bill would establish clear licensing and regulatory requirements for stablecoin issuers, reducing compliance risks that have historically deterred investors. Circle’s focus on transparency and compliance aligns with these standards, boosting market confidence in its long-term growth.

Moving Forward

Circle’s swift dismissal of Coinbase and Ripple acquisition rumors reinforces its commitment to independent growth. By focusing on long-term objectives and leveraging USDC’s established position, Circle aims to maintain its leadership in the stablecoin market. While an IPO remains a possibility, the company’s immediate priority is clear: building a sustainable, autonomous future in a competitive and regulated industry.