Circle, the company behind the USDC stablecoin, is moving forward with its long-anticipated initial public offering—but not without keeping the door open for a potential acquisition. According to a recent Fortune report, the company is engaged in informal talks with both Ripple and Coinbase about a possible sale while simultaneously preparing to go public.
Sources familiar with the matter say Circle is targeting a $5 billion valuation, whether through an IPO or a buyout. That figure aligns with Ripple’s reported bid on April 30—estimated between $4 billion and $5 billion—which Circle ultimately rejected for falling short of its internal benchmark.
While Circle continues to prepare for a public listing, conversations with Ripple and Coinbase suggest the company is exercising strategic flexibility in an unpredictable market. The willingness to explore both options underscores the balancing act many crypto firms face between gaining public exposure and pursuing consolidation with aligned industry players.
Ripple or Coinbase Deal Would Take Different Forms
If Circle opts for an acquisition instead of an IPO, the structure of the deal would depend heavily on the buyer. Ripple is expected to fund a purchase using a mix of cash and XRP, the company’s native token. In contrast, Coinbase would likely use a combination of cash and equity to structure its bid.
Coinbase and Circle have a long-standing strategic relationship dating back to 2018, when the two companies co-founded the Centre Consortium. The initiative was launched to establish governance standards for fiat-backed stablecoins, with USDC as its flagship product. The partnership also includes a commercial agreement that places USDC at the heart of Coinbase’s stablecoin offerings on its platform.
Although Circle officially filed for its IPO on April 1, aiming to complete the process by the end of the month, it signaled a possible delay just days later. On April 4, the company cited shifting macroeconomic conditions as a reason for reconsidering the timeline for its public debut.
Crypto IPO Pipeline Reopens as Markets Stabilize
The broader crypto IPO outlook is gaining momentum in 2025 as easing trade tensions and renewed investor confidence revitalize public markets. Bitwise’s late-2024 prediction that 2025 would be the “year of the crypto IPO” is beginning to materialize, with Circle, Gemini, and Kraken all pursuing listings within the next 12 months.
Several planned offerings were initially postponed following the Trump administration’s tariff announcements, which triggered volatility in both equities and digital assets. But with many of those trade measures now suspended or scaled back, investor optimism is returning.
At the time of reporting, Bitcoin is trading just 4.8% below its all-time high, while Ethereum, XRP, and Solana have each logged double-digit gains in the past month. The equity market is also rebounding, with the S&P 500 rising 15.6% over the same period, according to Google Finance.
eToro IPO Success Adds Fuel to Crypto Listing Hopes
Investor appetite for digital asset companies appears to be recovering, as evidenced by the successful IPO of Israeli trading platform eToro. The company completed its public debut on May 14, with shares surging 29% in the first week of trading.
That performance has further boosted expectations around upcoming crypto IPOs. For Circle, the window for public market entry—or a high-profile acquisition—appears to be reopening at an opportune time.
With macroeconomic conditions improving and institutional interest in stablecoins growing, the company’s decision to explore parallel strategic options could give it a stronger negotiating hand—whether on Wall Street or across the crypto M&A landscape.
Quick Facts
- Circle is preparing for a $5 billion IPO but remains in informal acquisition talks with Ripple and Coinbase.
- Ripple reportedly offered up to $5 billion in a bid that Circle rejected, while Coinbase could offer a mix of cash and equity.
- Circle filed for its IPO on April 1 but signaled a possible delay due to shifting market conditions.
- The crypto IPO market is rebounding, with eToro’s successful May debut adding momentum to listings by Circle, Gemini, and Kraken.
