Coinbase in Talks to Acquire Circle in a Potential $5 Billion Deal Amid IPO Preparations
Circle Internet Financial, the issuer of the popular stablecoin USDC, is reportedly considering a $5 billion acquisition by either Coinbase or Ripple, even as it continues to prepare for an initial public offering (IPO). According to sources familiar with the matter, Circle filed IPO paperwork in April 2025 but remains open to acquisition discussions. Ripple had previously made an offer in the $4-5 billion range, which was deemed insufficient. The company’s complex revenue-sharing arrangements and strategic position in the stablecoin market make it an attractive target for major crypto players like Coinbase and Ripple. This potential deal highlights the ongoing consolidation trend in the cryptocurrency industry as leading firms seek to expand their market share and offerings.
Circle Explores $5 Billion Sale to Coinbase or Ripple While Pursuing IPO
Circle Internet Financial is weighing a potential $5 billion acquisition by either Coinbase or Ripple despite its ongoing IPO preparations, according to sources familiar with the matter. The stablecoin issuer filed public IPO paperwork in April but remains engaged in parallel acquisition discussions, with Ripple’s previous $4-5 billion offer deemed insufficient.
The company maintains a complex revenue-sharing arrangement with Coinbase through their USDC partnership established in 2018. "If Coinbase wanted to buy them, Circle WOULD sell in a heartbeat," revealed a banking source involved in the private negotiations. Market observers note the fluid nature of such deals, with terms evolving weekly.
Circle Denies Acquisition Rumors, Reaffirms IPO Plans
Circle has categorically denied rumors of acquisition talks with Ripple and Coinbase, emphasizing its commitment to an independent future. "Circle is NOT for sale," the company stated, underscoring its focus on long-term strategic goals including a public listing.
The firm’s dismissal of M&A speculation highlights the growing divergence in crypto business trajectories—while consolidation sweeps through exchanges and miners, stablecoin issuers like Circle appear to be charting a course toward traditional capital markets.
Bitcoin Holds Steady Near $110K as Institutional Demand Offsets Macro Concerns
Bitcoin demonstrates resilience above $110,000 despite tariff policy headwinds, buoyed by MicroStrategy’s latest 4,000 BTC acquisition. The business intelligence firm now holds 580,250 BTC - equivalent to nearly 3% of the total supply - signaling unwavering institutional conviction even at record price levels.
Market dynamics reveal a curious dichotomy: While derivatives markets show aggressive positioning, spot volumes remain lethargic. This suggests professional traders are leveraging macroeconomic uncertainty while retail participants hesitate. ethereum maintains upward momentum as Solana enters a consolidation phase, reflecting sector rotation within crypto markets.
The US-EU tariff dispute creates short-term volatility but fails to dent the structural bullish case. ’This isn’t 2021’s retail-driven mania,’ observes a Coinbase institutional trader. ’When corrections occur, nine-figure bids materialize before prices drop 5%.’ Indeed, the $108,000 support level held firm during Tuesday’s risk-off episode.
Circle Files for IPO on NYSE, Targets $6.71B Valuation
Circle Internet Financial has formally abandoned acquisition rumors involving Coinbase or Ripple, opting instead for a Wall Street debut. The stablecoin issuer filed for an IPO on Tuesday, May 27, seeking to raise up to $624 million through 24 million shares priced between $24-$26.
The proposed valuation reaches $6.71 billion on a fully diluted basis, with 9.6 million shares offered by Circle and 14.4 million from early investors including Accel and General Catalyst. ARK Investment Management, led by Cathie Wood, has emerged as a committed buyer, signaling institutional confidence in the crypto-adjacent fintech.
Stablecoin Market Shakeup: How Coinbase or Ripple Buying Circle Could Reshape USDC’s $61.5B Empire
The potential acquisition of Circle by either Coinbase or Ripple represents a seismic shift in the stablecoin landscape, with far-reaching implications for the $161 billion market. USDC’s unique position as a bridge between traditional finance and decentralized protocols makes this more than a routine merger—it’s a battle for control over a critical piece of financial infrastructure.
Whoever gains control of USDC would command influence over nearly 25% of the stablecoin market, with ripple effects across international remittances and DeFi ecosystems. Unlike volatile cryptocurrencies, stablecoins like USDC are designed to maintain parity with fiat currencies, making them the lifeblood of crypto-commerce.
Bitcoin Whales Accumulate as Exchange Reserves Hit Multi-Year Lows
Bitcoin whales are demonstrating strong accumulation behavior, with 7,883 BTC withdrawn from Coinbase to an unknown wallet on May 26. The movement aligns with a broader trend of exchange outflows, as investors continue moving assets off trading platforms.
Exchange reserves have dwindled to 2.4 million BTC, marking the lowest level in years. The withdrawal from Coinbase represented one of the largest single-day net movements this quarter at -8.7K BTC.
Meanwhile, Bitcoin has shown resilience in price action, reclaiming $109,874 after recovering from market volatility triggered by geopolitical developments. The accumulation pattern suggests institutional players are positioning for longer-term holdings rather than short-term trading.