Ripple proposed an acquisition of stablecoin rival Circle Internet Group Inc. for $4 billion to $5 billion.
Circle rejected the offer for being too low, according to Bloomberg. The two companies held talks in recent months, though Ripple has not decided whether to make a follow-up offer.
Circle, issuer of the USDC (USDC) stablecoin, is currently focused on completing an initial public offering it filed for earlier in April.
A spokesperson for Circle declined to comment directly on the deal, citing regulatory quiet periods but noted the company’s “long-term goals remain the same.” Ripple (XRP) also declined to comment.
Circle’s IPO
Circle officially filed for its IPO on April 1, aiming to list on the NYSE under the ticker “CRCL,” with a reported valuation between $4 to $5 billion.
Despite generating $1.68 billion in revenue in 2024, Circle’s net income and EBITDA declined, raising concerns about high operational costs and slowing growth.
The offer comes amid a wave of crypto dealmaking as token prices rebound and firms prepare for public listings. Other crypto firms including BitGo, Gemini, and Bullish Global have also reportedly considered IPOs.
Ripple, which announced plans to launch its own RLUSD stablecoin in December, has been expanding its presence in the stablecoin sector. RLUSD currently has a market value of around $316.9 million, compared to USDC at $61.7 billion from Circle.
