Circle Eyes Coinbase or Ripple Buyout as IPO Plans Stumble—Because Who Needs Public Markets Anyway?

USDC issuer Circle explores exit strategies—including potential sales to crypto heavyweights Coinbase or Ripple—as its long-delayed IPO falters. Sources whisper about regulatory fatigue and the cold reality that stablecoins don’t moon.

Behind the scenes: Executives reportedly weighing whether to keep chasing Wall Street’s approval or cash out to rivals who still believe in the ’digital dollar’ pipe dream. Banking partners remain conspicuously silent.

The kicker: If Circle folds into a competitor, it’ll be the ultimate proof that in crypto, the house always wins—even when it’s built on stablecoins.

Coinbase is the likely buyer

“If Coinbase wanted to buy them, Circle WOULD sell in a heartbeat,” one banker said. While IPO plans remain intact, no terms or roadshow have been announced.

Coinbase may be the likeliest buyer. The two companies co-founded Centre Consortium in 2018 to issue USDC and still share revenue from reserve interest. 

Coinbase has favorable terms, including a 100% share of revenue from USDC held on its platform. It also holds influence over Circle’s partnership decisions and intellectual property rights.

Ripple has also shown interest, reportedly making an offer between $4 billion and $5 billion, though that bid was rejected. 

Ripple could leverage its large XRP reserves—worth more than $100 billion when including tokens in escrow—to fund a deal. 

But Coinbase, with $8 billion in cash and the ability to raise capital through public markets, remains a stronger financial contender. Coinbase CEO Brian Armstrong said on May 14 that Circle’s IPO doesn’t affect their commercial ties but hinted at openness to future deals, according to Fortune. 

Coinbase has ramped up M&A activity this year with acquisitions like Deribit and Spindle. Circle’s IPO hopes may be buoyed by eToro’s recent strong debut, but the possibility of a strategic sale remains in play.