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Ripple Labs, the blockchain company behind XRP, reportedly tried to acquire Circle Internet Financial—the firm behind the USDC stablecoin—for as much as $5 billion. However, Circle rejected the offer, according to a Bloomberg report. The move highlights Ripple’s growing ambition in the $241 billion stablecoin market, which is quickly becoming a key battleground for influence in digital finance.
This reported Ripple Circle acquisition was seen as a major strategic step that could have reshaped the entire stablecoin ecosystem. But with the offer turned down, both companies are now taking separate paths in their expansion plans.
Why Ripple Wanted to Buy Circle
Ripple started its own stablecoin, Ripple USD (RLUSD), in December 2024. RLUSD currently has a market cap of about $316 million. In comparison, Circle’s USDC is one of the most trusted stablecoins on the market, with a valuation exceeding $61 billion—second only to Tether (USDT).
The attempted Ripple Circle acquisition was a bid to leapfrog ahead in the stablecoin race. If successful, Ripple would have gained control over USDC’s vast network, including institutional relationships with giants like BlackRock and BNY Mellon. Analysts believe combining Ripple’s global payment infrastructure with Circle’s stablecoin systems could have led to more efficient cross-border payment tools and blended DeFi–TradFi services.
Ripple’s Bigger Strategy: Growth Through Acquisitions
The reported offer follows Ripple’s $1.25 billion acquisition of Hidden Road, a crypto prime brokerage, earlier in 2025. With over $10 billion in XRP holdings and $86 billion in escrow, Ripple has significant financial resources. The firm appears ready to invest heavily in becoming a leader in the evolving digital payments and stablecoin space.
However, despite Ripple’s offer reportedly reaching between $4 billion and $5 billion, Circle did not agree. One reason could be that Circle is pursuing a public listing on the New York Stock Exchange under the ticker “CRCL.” The company filed for its IPO in April 2025 and is reportedly targeting a $5 billion valuation—matching the rejected offer.
Circle Focused on IPO, Independence
Circle generated $1.67 billion in revenue in 2024, although its profits were only $156 million due to high operating and distribution costs. For Circle, going public is about gaining credibility, transparency, and long-term growth—values that may not align with a Ripple acquisition.
A spokesperson for Circle declined to comment directly on the rumored Ripple Circle acquisition but confirmed the company’s focus on its IPO. Circle is currently in a quiet period with the SEC, limiting public statements.
Was It More Than Just Money?
Industry experts suggest that Circle’s rejection wasn’t just about valuation. Strategic misalignment and regulatory issues may also have influenced the decision. Ripple only recently resolved a years-long legal battle with the U.S. SEC, ending in a $50 million net penalty. A merger with another major crypto player like Circle could have triggered more scrutiny from regulators, especially in a sensitive area like stablecoins.
Some reports even hinted that Ripple may have raised its offer to as much as $20 billion—though these claims remain unverified. Circle, on the other hand, has repeatedly denied that it is up for sale.
Coinbase Also Reportedly in the Mix
Adding to the complexity, Fortune reported that Coinbase—Circle’s long-time partner in the Centre Consortium—might also be exploring informal talks to acquire Circle. This further suggests high interest in stablecoin market consolidation, although nothing official has been revealed.
Ripple Circle Acquisition: What It Means for the Stablecoin Market
Ripple’s failed bid to acquire Circle shows how competitive the stablecoin space has become. While USDC and USDT dominate the market, new challengers like RLUSD are trying to carve out a share. Ripple’s stablecoin is already integrated into its payment system and aims to simplify cross-border transactions, but it still has a long way to go to match USDC’s reach.
Crypto influencers like “Crypto Barbie” on X have speculated that Ripple’s motivation wasn’t just about revenue—it was about eliminating competition, taking control of USDC, and using Circle’s payment infrastructure to dominate the sector.
Whether Ripple circles back with a higher offer or Circle successfully completes its IPO, the stablecoin market is undergoing rapid change. The outcome could impact how digital dollars move globally—especially in areas like remittances, trading, and decentralized finance.
